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Wall Street mixed ahead of the FED, USD up

FXStreet (Córdoba) - Stocks in the US lost steam after a positive open while in Europe most markets finished with gains ahead of the FOMC statement. In Wall Street the Dow Jones was rising 0.03% while the S&P 500 was losing 0.05%; in Europe, the FTSE 100 lost 0.17% while the Dax rose 0.30% and the Cac 40 gained 0.50%.

Economic data from the US showed that the CPI declined in August 0.2%; analyst were expecting a flat reading. The annual rate fell from 2.0% to 1.7%.
“It is also great timing for such a soft CPI reading, with the FOMC decision later today, and markets anticipating at least some small change in the Fed’s rhetoric.
We suspect that any such changes will be small, most likely, a tweak to the text referring to the time after QE ends before the first rate hike”, said Rob Carnell from ING.

In an hour, the FED will release it statement and then Janet Yellen will held a press conference. Ahead of the event, the US dollar was rising across the board, particularly versus the aussie and the kiwi. Among european currencies the pound was the best performer.

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