Daily Afternoon Report 19/10/2015
The dollar remained moderately higher against the other major currencies in subdued trade today, as sentiment on the greenback was still fragile after the release of mixed U.S. economic reports on Friday. The preliminary reading of the University of Michigan’s consumer sentiment index came in at 92.1 on Friday, compared to forecasts of 89 and up from 87.2 in September. But another report showed that U.S. industrial production declined 0.2% in September, pressured lower by weakness in the oil and gas sector. The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.09% at 94.84.
Elsewhere, demand for the safe-haven yen strengthened after data on Monday showed that China’s economic growth slowed to 6.9% in the third quarter, down from 7% in the previous quarter. The figure is the country’s slowest growth rate since 2009. A separate report showed that Chinese industrial production rose at a year-on-year rate of 5.7% in September, disappointing expectations for a 6.0% gain.