Analysis of the American trading session

During the American session on Friday, October 13, 2017, the US dollar declined against the major market currencies. The main reason for such a decline in the US currency was weaker inflation data in the US, rather than expected.

• According to published data, the basic consumer price index (CPI) in September rose by 0.1%, which is below the forecast at 0.2%. On an annualized basis, the increase in figures was 1.7%, while analysts had expected growth of 1.8%.
• The consumer price index (CPI) rose by 0.5%, against the forecast of 0.6%. On an annualized basis, the increase in figures was 2.2%, which is below the forecast at 2.3%.

Later, the US dollar recovered most of the lost positions, since despite the slowdown in inflation, the Fed will still keep its current plans for tightening monetary policy by the end of the year.

Also later, some support for the US dollar was provided by positive data on consumer optimism in the United States.

• According to published preliminary data, the consumer sentiment index from the University of Michigan in October rose to 91.3 against the September value of 84.4.
• The consumer sentiment index from the University of Michigan rose in October to 101.1, which is higher than the September value of 95.1.

Alexander Sivtsov