Sterling Rises After U.S. Inflation Data

Dow Jones
08/12

1414 GMT - Sterling rises to a four-week high against the dollar after U.S. inflation data on Wednesday prompted markets to trim expectations for the Federal Reserve to raise interest rates in September. Annual U.S. inflation eased to 3.4% in July from 3.5% in June, as expected. Money markets price a 39% chance of a 25 basis-point U.S. rate rise in September, compared to 48% before the data, according to LSEG. Sterling rises to a high of $1.3541 after the data, from $1.3518 beforehand, LSEG data show.

 

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