The US dollar is trading at a fresh five-month low after data on Friday showed inflation slowing further. Ahead a holiday-shortened week and a quiet economic calendar.
US Dollar Drops, Gold Pops, S&P 500 Whipsaws on US CPI Rise
2021-04-13 13:00:00
Justin McQueen,
Analyst
USD, CPI Price Analysis & News
US CPI Prints Ahead of Estimates
US CPI Prices Ahead of Expectations
BOTTOM LINE: US CPI rose 0.6% on the month, 0.1ppts above expectations, which saw the yearly rate at 2.6% (highest since Aug 2018), ahead of the 2.5% consensus. Meanwhile, the core reading also printed ahead of forecast at 0.3% on the month and 1.6% on the year. However, with the Federal Reserve covering at length that they will look through the inflation spike in the next few months as they remain adamant that inflation will be transitory, this data point has little in the way of policy implications. In turn, markets saw a broadly muted reaction.