US: Annual Core CPI edges lower to 1.4% in January vs. 1.5% expected

• Annual core inflation in US softened modestly in January.
• US Dollar Index retreats to 90.30 area after the data.

Inflation in the US, as measured by the Consumer Price Index (CPI), declined to 0.3% on a monthly basis in January, the data published by the US Bureau of Labor Statistics showed on Wednesday. On a yearly basis, the CPI stayed unchanged at 1.4%.

Further details of the report revealed that the Core CPI, which excludes volatile food and energy prices,  edged lower to 1.4% in January from 1.6% in December and came in lower than the market expectation of 1.5%.

Market reaction

With the initial reaction, the US Dollar Index pushed ower and was last seen losing 0.15% on the day at 90.30.