US inflation positive
The US consumer price index rose 0.4% on the month to August, and 0.1% excluding food and energy prices. On an annual basis consumer prices in the US are falling at a rate of -1.5% better than markets were expecting. Industrial production figures were also positive, rising 0.8% and manufacturing shipments rose to 5% in the month to July.
Despite the positive figures the US current account gap was bigger than expected, lowering to USD-98.8 billion. Inflation figures however, support the Federal view that inflation will remain stable and this will help the Fed when it seeks to tighten monetary policy. Overall, prices are 1.5% lower than this time last year but strong inflation rates are being supported by rising energy prices.
Exchange rates for the US dollar are currently at GBP0.6075 and EUR0.6812.
The rates quoted above are interbank rates. Client rates may vary according to the volume and timing of the trade.