Focus is on data packed week

The dollar stabilized supported by the Fed’s stance against immediate rate cuts.

By Nadia Elbilassy | @Nadia Elbilassy | 12 February 2024

Market close
  • US dollar consolidates as key CPI data approaches, despite revised lower consumer prices in December.

  • Bank of England (BOE) expected to implement three rate cuts totaling 75 basis points, a significant deviation from the previous year's projections.

  • European shares rise in response to positive momentum on Wall Street, notably the historic close above 5,000 points for the S&P 500.

On the Market Watch:

In Currencies

The US dollar is consolidating ahead of key CPI data this week.

The U.S. monthly consumer prices were revised showing a lower increase than initially reported in December. However, Federal Reserve officials reiterated last week that there is currently no urgent necessity to reduce interest rates in the U.S, which also supported the dollar.

The widely anticipated inflation figures are expected to budge lower to 2.9% from 3.4% in December.


Meanwhile the Bank of England is expected to implement three rate cuts this year, totalling 75 basis points. This projection is nearly 100 basis points lower than what was anticipated at the close of the previous year.

The UK is also scheduled for the release of GDP numbers which are expected to contract to -0.2% from 0.3% month to month and -0.1% for the prelim quarterly reading.

European shares

European shares advanced, influenced by the positive momentum on Wall Street, where the S&P 500 achieved a historic close above 5,000 points.