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The U.S. dollar traded dropped against the most major currencies after the weaker-than-expected U.S. retail sales, the U.S. producer price index (PPI) and the NY Fed Empire State manufacturing index.
The U.S. retail sales declined 0.3% in September, missing expectations for a 0.1% drop, after a 0.6% gain in August.
Retail sales excluding automobiles fell 0.2% in September, missing expectations for a 0.2% increase, after a 0.3% rise in August.
The U.S. PPI fell 0.1% in September, missing expectations for a 0.1% gain, after a flat reading in August.
The decline was driven by the fall in gasoline prices and food prices. Gasoline prices declined 2.6%, while food prices decreased 0.7%.
The U.S. PPI excluding food and energy was flat in September, missing expectations for a 0.1% rise, after a 0.1% gain in August.
The NY Fed Empire State manufacturing index decreased to 6.2 in September from 27.5 in August. Analysts had expected the index to decline to 20.3.
The U.S. business inventories rose by 0.2 percent in August, after a 0.4% in July. That was the smallest increase since June 2013.
The euro jumped against the U.S. dollar. Germany cut its growth forecasts for 2014 and 2015. The growth for this year was lowered to 1.2%, down from 1.8%, while the growth for 2015 was cut to 1.2%, down from 2%.
German consumer price inflation was flat in September, in line with expectations.
The British pound traded higher against the U.S. dollar. The U.K. unemployment rate dropped to 6.0% in the June to August quarter from 6.4% in the three months to July, exceeding expectations for a decline of 6.1%. That was the lowest level since late 2008.
The claimant count decreased by 18,600 people in September, missing expectations for a drop of 34,200 people, after a decrease of 33,200 people in August. August's figure was revised from a decline of 37,200.
Average weekly earnings, excluding bonuses, climbed by 0.9% in the June to August period.
Average weekly earnings, including bonuses, rose by 0.7% in the June to August period, but remained below the current inflation of 1.2%.
The Swiss franc traded higher against the U.S. dollar despite the weaker-than-expected survey by the ZEW Institute and Credit Suisse Group. A survey by the ZEW Institute and Credit Suisse Group showed today that Switzerland's economic sentiment index dropped to -30.7 points in October from -7.7 points in September, missing expectations for a decline to -12.0 points.
The decline was driven by the growth slowdown in the Eurozone could spill over into Switzerland.
The New Zealand dollar rose against the U.S. dollar in the absence of any major market reports from New Zealand.
Chinese economic data was weaker than expected. China's consumer price index declined to 1.6% in September from 2.0% in August, missing expectations for a decline to 1.7%.
China's producer price index dropped to 1.8% in September from a decline of 1.2% in August, missing expectations for a decrease to 1.4%.
The Australian dollar increased against the U.S. dollar. The Westpac consumer confidence in Australia increased 0.9% in October, after a 4.6% fall in September.
New motor vehicle sales in Australia rose 2.9% in September, after a 1.6% decline in August. August's figure was revised up from a 1.8% decrease.
The Japanese yen climbed against the U.S. dollar. Japan's industrial production declined 1.9% in August, after a 1.5% drop in July. Analysts had expected a 1.5% decrease.
Japanese Economics Minister Akira Amari said in parliament that the government does not want to intentionally weaken the yen, and any negative impact from rising import prices should be closely monitored.
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