The Euro fell slightly against its American counterpart, reflecting an anticipated increase in the US producer prices. The EUR/USD exchange rate edged 10 base points lower to the 1.1844 mark to continue temporary depreciation, though the pair passed across the 1.1850 area again on Friday morning.
The Labour Department revealed that the US Producer Price Index climbed 0.4% in September. Data suggested the growth fuelled by higher gasoline prices, as they marked the strongest rise in two years due to production disruptions in Texas oil refineries caused by Hurricane Harvey. Moreover, the gain is set to bolster the Fed’s case for the next rate hike this year despite sluggish inflation readings.
