Dollar Stability

The dollar remained stable near the average price range it recorded this week against a basket of major currencies, as investors await key inflation data in the United States set to be released later today, Thursday, which could influence the monetary policy direction of the Federal Reserve. The dollar index, which measures the U.S. currency against six major currencies including the euro and yen, showed little change, reaching 102.50 in early Asian trading after fluctuating between 101.98 and approximately 102.80 this week. The dollar benefited from demand as a safe haven following a continuous series of weak Chinese economic data, amid growing expectations of a slight downturn in the U.S. economy as price pressures ease. Wall Street economists expect the consumer price index to rise by 4.8 percent year-on-year in July. The dollar-yen exchange rate remained relatively unchanged at 143.79 yen after earlier recording its highest level since July 7 at 143.90 yen. The euro remained stable at approximately 1.09695 dollars. The Chinese yuan rose by about 0.1 percent to 7.2235 against the dollar in offshore trading.