Dollar edges higher against euro after US inflation data

[NEW YORK] The US dollar edged higher against major peers on Friday (Sep 11) after closely watched inflation data showing higher consumer prices reinforced expectations of a Federal Reserve interest rate increase next week.

Labor Department data showed that the US consumer price index increased 0.4 per cent in August after edging up 0.1 per cent in July. In the 12 months through August, consumer inflation advanced 3.4 per cent after rising by the same margin in July.

The dollar rose broadly against the euro and Swiss franc before giving back some of those gains immediately after the data.

The euro was down 0.07 per cent at US$1.1602. The dollar strengthened 0.2 per cent to 0.814 against the Swiss franc. REUTERS