French consumer confidence rose last month, official data showed on Wednesday.
In a report, INSEE said that French Consumer Confidence rose to 98, from 97 in the preceding month.
Analysts had expected French Consumer Confidence to rise to 98 last month.
Investing.com - The Australian dollar rose on Wednesday after data showing a stronger than expected rebound in domestic inflation in the last quarter quashed expectations for a near-term interest rate cut by the country’s central bank.
AUD/USD hit highs of 0.7709 and was last at 0.7702, up 0.73% for the day.
Official figures showed that Australia’s consumer price index rose 0.7% in the third quarter, compared to expectations for an increase of 0.5%.
Annual inflation rose by 1.3%, up from 1.0% in the second quarter and ahead of forecast of 1.1%.
The annual rate of underlying inflation also edged up, rising to 1.6% from a record low of 1.5%.
Underlying inflation rose 0.4% from a month earlier.
Subdued inflation readings in the first and second quarters prompted the Reserve Bank of Australia to cut interest rates in May and August, bringing interest rates to a record low 1.5%.
The Aussie was also higher against the yen and the New Zealand dollar, with AUD/JPY up 0.63% to 80.20 and AUD/NZD climbing 0.55% to 1.0731.
NZD/USD was slightly higher at 0.7174.
The greenback backed away from nine-month peaks hit overnight, but continued to be underpinned by expectations for a near-term interest rate hike.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last at 98.57, after hitting highs of 99.09 overnight, its highest level since February 1.
The index has rallied more than 3% so far this month as hawkish remarks by Fed officials in recent weeks solidified expectations for a rate hike before the year’s end.
Expectations for higher interest rates typically boost the dollar by making the currency more attractive to yield-seeking investors.
The Fed’s next meeting is in November, but a rate hike ahead of the presidential election is seen as unlikely.
Investors currently price a 68.4% chance of a rate hike at the Fed's December meeting; according to federal funds futures tracked Investing.com's Fed Rate Monitor Tool.
EverFX, a trademark of ICC Intercertus Capital Limited, is delighted to announce that it has received its CySEC licence
Join EverFX as a partner and receive on-time rebates for every client referred. Benefit from a world-class range of marketing resources to convert your referrals, and let us help you grow your business.BECOME PARTNER
EverFX is striving to provide the most competitive and reliable trading environment to traders across the globe. Take advantage of tight spreads, flexible leverage, and remarkable execution delivered through our top-notch trading platforms.