Breaking: US annual Core PCE inflation rises to 4.1% in October versus 4.1% expected

FXStreet Team FXStreet

Inflation in the US, as measured by the Personal Consumption Expenditures (PCE) Price Index, rose to 4.1% YoY in October, the US Bureau of Economic Analysis reported on Wednesday. That was in line with the median economist forecasts and confirmed a 0.4% rise from last month's upwardly revised reading of 3.7%. MoM, the Core PCE Price Index rose at a pace of 0.4%, also in line with expectations, a 0.2% acceleration from the 0.2% rise seen in September.

Market Reaction

FX markets did not react to the inline with forecast US inflation numbers.

Author

FXStreet Team

FXStreet

EUR/USD stays weak near 1.1850 after dismal German ZEW data

EUR/USD remains in the red near 1.1850 in the European session on Tuesday. A broad US Dollar bullish consolidation combined with a softer risk tone keep the pair undermined alongside downbeat German ZEW sentiment readings for February.

GBP/USD holds losees near 1.3600 after weak UK jobs report

GBP/USD is holding moderate losses near the 1.3600 level in Tuesday's European trading. The United Kingdom employment data suggested worsening labor market conditions, bolstering bets for a BoE interest rate cut next month. This narrative keeps the Pound Sterling under bearish pressure.

Gold pares intraday losses; keeps the red above $4,900 amid receding safe-haven demand

Gold (XAU/USD) attracts some follow-through selling for the second straight day and dives to over a one-week low, around the $4,858 area, heading into the European session on Tuesday.

Canada CPI expected to show sticky inflation in January, still above BoC’s target

Economists see the headline CPI rising by 2.4% in a year to January, still above the BoC’s target and matching December’s increase. On a monthly basis, prices are expected to rise by 0.1%.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Stellar mixed sentiment caps recovery

Stellar price remains under pressure, trading at $0.170 on Tuesday after failing to close above the key resistance on Sunday. The derivatives metric supports the bearish sentiment, with XLM’s short bets rising among traders and funding rates turning negative.