- GBP / USD reversed its direction after US inflation data.
- The US dollar index rises towards 94.50 after a previous drop.
- With an eye on the Brexit headlines, Minutes from the September FOMC meeting.
The pair GBP/USD it reversed its direction after climbing towards 1.3650 earlier in the day and retraced most of its daily advance. At time of writing, the pair was up just 0.05% on the day at 1.3592.
DXY retrieves from inflation data
The renewed strength of the dollar in the US September inflation report appears to be weighing on GBP / USD at the beginning of the US session. The monthly report released by the US Bureau of Labor Statistics revealed that the annual Consumer Price Index (CPI) rose to 5.4% in September from 5.3% in August. Furthermore, the core CPI, which excludes volatile food and energy prices, was unchanged at 4% annually.
Reflecting the positive impact of the CPI data on the dollar, the US dollar index (DXY) rebounded from the daily low of 94.24 and was last seen losing 0.7% at 94.43.
Later in the day, investors will closely follow developments surrounding Brexit. Maroš Šefčovič, Vice-President for Interinstitutional Relations and Foresight at the European Commission, will present the EU proposal on the Northern Ireland Protocol at 16.30 GMT.
In addition, the FOMC will publish the Minutes of its September meeting at 18:00 GMT.
Technical levels
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