The moves
The dollar index quoted by CNBC fell to 102.25 on Tuesday, October 13, after closing at 102.61 on Monday, its highest since April 2025, CNBC reported. The euro traded at $1.1192, according to CNBC; the European Central Bank's reference rate for October 13 was $1.1188.
Fed expectations
Before the inflation report, CME FedWatch showed a 76% chance that the Federal Reserve holds rates at its October 27-28 meeting, CNBC said. The Labor Department said on Wednesday, October 14, that consumer prices rose 3.7% in September from a year earlier, up from 3.4% in August, with core inflation at 2.6%, the Associated Press reported.
Why it matters
A hotter inflation print strengthens the case for higher US rates, which can support the dollar against the euro. What to watch: repricing of Fed odds after the CPI data and whether the dollar index retests 102.61.