Dollar Rises on Strong US Inflation Data

The US dollar rose against several major currencies after new inflation data was released. The Labor Department reported that the Consumer Price Index (CPI) increased by 0.4% in August, with core CPI rising 2.4% year-on-year.

This news reinforced expectations of a Federal Reserve rate hike next week, which boosted the dollar's value. According to Juan Perez, director of trading at MonexUSA, 'The main thing we're looking at is core CPI, which seems to be accelerating.'

The euro fell 0.13% against the dollar, while the Swiss franc was down by 0.47%. Oil prices remained above $100 a barrel, despite a slight decline, and Brent crude futures settled at $104.61.