In a prelude to the release of significant US inflation data, the US dollar exhibited strength against most major currencies on Tuesday, marking a focal point for investors seeking insights into forthcoming monetary policy decisions.
Market participants are eagerly awaiting the imminent unveiling of crucial US inflation data later this week, poised to provide valuable indications of the future trajectory of monetary policies. According to a survey conducted by Reuters, August witnessed a month-on-month surge in US inflation by 0.6%, a notable increase from July’s 0.2%.
The Federal Reserve is set to convene later this month for its periodic policy meeting, widely expected to maintain the status quo by holding interest rates steady.
Meanwhile, technology enthusiasts and Apple aficionados are eagerly anticipating the tech giant’s annual conference. At this event, Apple is slated to unveil its highly-anticipated iPhone 15, alongside new iterations of its popular products such as the Apple Watch and iPad.
In currency markets, the dollar index demonstrated resilience, registering a 0.1% rise as of 21:25 GMT, reaching 104.6. It recorded a session high at 104.9 and a low at 104.4.
Sterling Experiences Modest Decline
The GBP/USD currency pair faced a marginal decline of 0.1% as of 21:40 GMT, with a valuation of 1.2496.
Recent data concerning the United Kingdom’s job market revealed a minor uptick in jobless claims, rising by 0.9 thousand during August. This figure contrasted with analyst expectations of a more substantial addition of 17.1 thousand.
Aussie and Loonie Fluctuate
The AUD/USD currency pair experienced a 0.1% dip as of 21:42 GMT, settling at 0.6425.
Meanwhile, the Canadian dollar observed a 0.1% depreciation against its US counterpart, resulting in a value of 0.7378.
As market dynamics continue to evolve, these currency movements and economic indicators will remain under close scrutiny, shaping investor sentiment in the global financial landscape.
