USD in stronger positions after released data on US inflation rates

The expectations that the Federal Reserve will raise interest rates next month are growing. The dollar rose after the publication of positive data on US inflation.

The published data showed that consumer price index increased 0.2% in October on a seasonally adjusted basis. In the previous period the it was 0%. Economists had expected a rise of 0.1%.

Theindex for all items less food and energy has risen 1.9 percent over the past 12 months;this is the same figure as the 12 months ending September. Indexes that have increasedmore rapidly include shelter (3.2 percent) and medical care (3.0 percent). Among the indexes that posted smaller increases arerecreation (0.6 percent) and new vehicles (0.1percent). Indexes that declined over the past year include airline fares(-5.2 percent), apparel (-1.9 percent) and used cars and trucks (-1.4 percent).
As a result, the greenback reached a 10-month high against the Swiss franc and also followed appreciation against the euro and yen. In stark contrast to the Fed is European Central Bank, which at the December meeting is expected to take a decision to expand the quantitative easing program. The possibility of reducing the interest rate on deposits keeps the euro under pressure.

The dollar index rose 0.1% to 99,681 - the highest level since April.

The dollar rose 0.4 percent against the Swiss franc to 1.0128.

The euro retreated against the dollar by 0.2%, reaching 1.0662.

Against the Japanese yen, the greenback rose 0.2% to 123.37 yen.

The British pound managed to rise against the dollar by 0.1 percent, reaching 1.5216.