020 7898 0500It was an interesting – and busy – end to the week for dollar. It weakened against a basket of currencies following weaker-than-expected inflation data. It must be said there was an increase, but this is largely down to the rise in fuel prices after a relentless month of hurricanes.
The markets are currently pricing in around 88% probability of an interest rate rise in December, which would confirm the belief that there would be three rate rises in 2017. However, not everybody is convinced that it is definitely going to happen so it will be interesting to see what the Federal Reserve decide.
Looking to the week ahead, US industrial production is set to edge higher by 0.2% in September, but, as quarters go, the third quarter has been fairly flat growth-wise. We’re also expecting to see a fall in sales for the month of September. Finally, on Friday, Steven Mnuchin, the US Treasury Secretary, underlined his commitment to overhauling America’s tax system and declared that he wants a bill on Trump’s desk at the start of December.
