The dollar closed lower as traders awaited reactions from the Federal Reserve’s preferred measure of price growth. for clues about the extent and timing of policy easing.
The currency closed the day with an average price of $3,860.91, down about $13.41either of the Representative Market Rate which for today was at $3.874.32. At the close, the North American currency reached maximum prices of $3.874.75 and minimums of $3.847. It will be donen 2,283 transactions worth US$1.185 million.
According to Bloomberg, market optimism about interest rate cuts has eased throughout the monthas Fed policymakers called for evidence that inflation is slowing, while a host of data suggested it is still unstable.
“Inflation is stagnant; it’s not actually picking up hugely, but it’s not going down either and growth is fine“Max Kettner, chief multi-asset strategist at Hsbc Holdings Plc, said on Bloomberg Television.
According to Reuters, US inflation followed a sideways path in April, a worrying sign for the US central bank suggesting that the high pace of price increases could last longer than expected and casts doubt on how soon it will be able to cut interest rates.
The price index of personal consumption expenditures, PCE, increased 0.3% last monththe Bureau of Economic Analysis of the Department of Commerce reported on Friday, in line with the unrevised increase in March.
According to Reuters, Oil prices were steady on Friday as investors awaited U.S. inflation data. for clues on the demand outlook, before turning its attention to Sunday’s OPEC+ meeting to determine the state of supply for next year.
Brent is headed for a monthly loss of around 7%, after falling in the previous session due to the surprising accumulation of fuel inventories in the United States.
Data from the Energy Information Administration, EIA, showed that The greater use of refineries caused a greater than expected reduction in crude oil reserves in the week until May 24.
However, Gasoline inventories increased by two million barrels, compared to expectations of a reduction of 400,000 barrels and increased demand ahead of Memorial Day weekend.
