The U.S. dollar is currently losing ground against most major currencies, despite the release of solid production and consumption data.
- EUR/USD is up nearly 0.5%,
- USD/PLN is down more than 0.3%.
Such a market reaction may suggest that investors are increasingly speculating on the possibility of a more aggressive interest rate cut by the Fed than previously anticipated by consensus. However, this view may be called into question by the fact that no corresponding move is visible in U.S. Treasuries. Both Donald Trump and Scott Bessent signal that Fed should start lowering interest rates.
Today US macro data
US Industrial Output MoM in August: 0.1% (Forecast -0.1%, Previous -0.1%)
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US Manufacturing Output MoM: 0.2% (Forecast -0.2%, Previous 0.0%)
- US Capacity Utilization: 77.4% (Forecast 77.4%, Previous 77.5%)
US retail sales in August came in 0.6% vs 0.2% exp. and 0.5% previously
- US Core Retail Sales MoM: 0.7% (Forecast 0.4%, Previous 0.3%)
- US Export Prices MoM 0.3% (Forecast 0.1%, Previous 0.1%)
- US Import Prices MoM 0.3% (Forecast -0.2%, Previous 0.4%)
US NAHB Housing Market Index: 32 (Forecast 33, Previous 32)
- US Business Inventories MoM: 0.2% vs 0.2% exp. and 0.2% previously
USDIDX (D1 interval)
As we can see below, futures on US Dollar Index (USDIDX) loses 0.5% retesting multi-year lows again.
Source: xStation5
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