Dollar in decline after Trump rounds on Fed

Nathan Janzen, senior economist at the Royal Bank of Canada, notes that the year-over-year, US headline inflation held at 1.7% while core inflation was held at 2.4%.“Core ex-food & energy CPI price inflation held at a 2.4% year-over-year rate in September – still above the Fed’s 2% inflation objective.”“Energy prices have been weighing a touch on the headline rate, which remained at a lower 1.7% year-over-year growth pace in September. But lower gasoline prices are a positive for household purchasing power.”“The Fed’s preferred core PCE deflator has been below core CPI this year, but growth in that measure has also ticked higher in recent months, rising to 1.8% in August.”“Underlying inflation trends increasingly look to be converging around the Fed’s 2% objective.”“Still, Fed policymakers have shown far more concern about the external growth backdrop, and the economic impact of escalating US-China trade tensions/tariffs, than current domestic conditions. The Fed remains highly likely to follow up 25 basis point rate cuts in July and September with another move lower in Q4.”Forex Crunch is a site all about the foreign exchange market, which consists of news, opinions, daily and weekly forex analysis, technical analysis, tutorials, basics of the forex market, forex software posts, insights about the forex industry and whatever is related to Forex.Foreign exchange (Forex) trading carries a high level of risk and may not be suitable for all investors. The risk grows as the leverage is higher. Investment objectives, risk appetite and the trader’s level of experience should be carefully weighed before entering the Forex market. There is always a possibility of losing some or all of your initial investment / deposit, so you should not invest money which you cannot afford to lose. The high risk that is involved with currency trading must be known to you. Please ask for advice from an independent financial advisor before entering this market. Any comments made on Forex Crunch or on other sites that have received permission to republish the content originating on Forex Crunch reflect the opinions of the individual authors and do not necessarily represent the opinions of any of Forex Crunch’s authorized authors. Forex Crunch has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: Omissions and errors may occur. Any news, analysis, opinion, price quote or any other information contained on Forex Crunch and permitted re-published content should be taken as general market commentary. This is by no means investment advice. Forex Crunch will not accept liability for any damage, loss, including without limitation to, any profit or loss, which may either arise directly or indirectly from use of such information. .