Dollar Weakens Against Euro and Pound in Week Ended Oct. 16

The dollar weakened against the euro and pound in the week ended Oct. 16, while a broad measure of its value and Treasury yields fell despite faster monthly U.S. inflation readings.

At noon ET (16:00 UTC) on Oct. 16, one euro bought $1.1231, up from $1.1193 at the same observation on Oct. 9. The pound rose to $1.3330 from $1.3229 over those dates.

The broad dollar index declined to 121.4048 on Oct. 16 from 121.6023 a week earlier. Its daily readings do not carry the noon observation time used for the euro and pound exchange rates.

That broad measure tracks a different currency basket from the six-currency U.S. Dollar Index.

Treasury yields also finished the period lower. The 10-year yield fell to 5.09% on Oct. 16 from 5.24% on Oct. 9, while the two-year yield slipped to 4.74% from 4.80%. The yield figures reflect market quotes obtained at or near 3:30 p.m. ET (19:30 UTC), later than the currency observations.

U.S. inflation readings moved in the opposite direction on a monthly basis. Consumer prices rose 0.6% in September after a 0.4% increase in August. Producer prices rose 1.3% after a 0.5% August gain. Both monthly comparisons are seasonally adjusted.