US inflation data matched forecasts, leaving markets unmoved ahead of key July producer prices and unemployment figures.
The US Dollar remained stable in early trading Thursday, with major currency pairs trading in narrow ranges. Markets are focused on upcoming US economic data, including weekly Initial Jobless Claims and the July Producer Price Index (PPI), due later in the day.
Wednesday’s Consumer Price Index (CPI) data showed annual inflation eased to 3.4% in July from 3.3% in June, while monthly CPI rose 0.1% after a 0.4% decline in June. Core CPI, excluding food and energy, increased 0.2% month-over-month and 2.5% year-over-year, aligning with expectations. The figures failed to spark significant market movement.
The USD has shown strength against the New Zealand Dollar this week but remains range-bound against other major currencies. Traders are awaiting fresh catalysts from today’s data releases to gauge the Federal Reserve’s potential policy path.