The greenback posted strong gains, rising on the back of a better than expected private payrolls report and a revised second quarter GDP. Official data showed yesterday that private sector hiring in the US added 237k jobs. This was higher than the forecasts of 185k while July’s private payrolls were revised up to 201k. The second quarter GDP report showed that the US economy expanded at a pace of 3%, beating estimates of 2.7% and better than the initial reading of 2.6%.
Looking ahead, the economic calendar today covers the preliminary CPI from France, followed by the Eurozone’s CPI data. Headline inflation is expected to accelerate 1.4%, after rising 1.3% in July. Core CPI is however forecast to remain steady at 1.2%. In the US the core PCE data will be coming out later. Forecasts point to a 0.1% increase on a month over month basis.
