The U.S. dollar was seen edging higher on Thursday. On the economic front, data included the German trade balance which rose 17.6 billion. This was smaller than the forecasts of 18.2 billion.
The European Commission released its economic forecasts where it painted a grim picture. According to the report, GDP forecasts for 2018 and 2019 were lowered due to external risks such as the U.S. economy and trade wars as well as internal risks such as Italy’s budget deficit.
The euro currency was seen trading on the back foot for the most part.
The Fed’s meeting was the big item on the calendar. As widely expected, the central bank left interest rates unchanged at 2.0% – 2.25%. The Fed maintained its view that interest rates would be hiked once again in December.
Earlier today, China’s inflation data showed that consumer prices rose 2.5% matching estimates. This was the same pace of increase compared to the previous month on an annualized basis. China’s PPI, however, continued to decline, rising just 3.3%, down from 3.6% previously.
As the week comes to an end, the markets look to a busy Friday in store. Economic data on the day will see the UK’s advance GDP report for the third quarter. This is also accompanied by the monthly GDP numbers.
After faltering earlier this year, the third quarter GDP is expected to rise 0.6% on a quarterly basis. Manufacturing, industrial and construction output data are also due today.
The NY trading session will see the U.S. producer prices index data. PPI is forecast to rise 0.2% on the month. The final wholesale inventories report is also due later and is forecast to rise 0.3% on the month.