Inflation rate expected to grow.

Yesterday, against the background of the release of a number of data on England, which exceeded expectations, the pound sharply resumed growth relative to the major currencies. After that the interest rate increase by the Bank of England became possible, since the consumer price indices were higher than expected. A series of data on England is also coming today, which can support the pound in its strengthening relative to other currency instruments.

 

At the moment the pound reached an annual maximum reaching 1.3328.

Today, during the American session, a number of news is expected, including at 15.30 (GMT +3) the PPI Producer Price Index is expected to come out. Positive yields will provide local support to the dollar and may send major pairs for correction. But it is still too early to expect the strengthening of the dollar, as the FRS meeting is scheduled for September 19-20.

 

A weekly report on crude oil reserves is also coming today. We can expect some growth, as oil refineries and oil producers resume work after the closure due to hurricane Harvey.

The dollar index, for the time being, also continues to decline and at the moment is 91.72