Daily FX Wrap Up

The US Dollar softens against the majors today, ahead of the release of the Federal Reserve Bank of Philadelphia index. Business conditions fell to -0.7 according to the report, which shocked analysts who had been expecting a rise to 7.0. This current news has led many experts to believe interest rates will not be lowered for the rest of the year. The economic data from the US continues to be mixed, with the unexpected bump in housing starts tempering fears of a hard landing for the economy. The September CPI data was consistent with the PPI report, which reflected sharp declines in energy costs. Markets are expecting the FOMC (Federal Open Market Committee) to continue to leave rates unchanged when it deliberates next week, but will pay particular attention to the statements from Fed officials after the announcement. The Euro climbed as high as 1.2642 before slipping back to close at 1.2625, up almost 0.8 percent from late Wednesday's close. XPRESSTRADE Analyst David Hilgeman