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Foreign Exchange Market Update

Foreign Exchange Market Update

Please call the FX Department at 626-279-3235 for the most current rate.

October 13, 2026

Bar graph shows overnight changes in major currencies around the world

 

German Inflation Confirmed at 3.3%; Strongest Since 2023

Euro traded at 1.1193 against USD at 9:00 AM PST

Due to higher energy prices, Germany's inflation accelerated to the highest level since September 2023. The consumer price index (CPI) rose 3.3% year-on-year in September, following a 2.9% increase in August. The rate hit the highest since December 2023, when it was 3.7%. The EU measure of inflation that is based on the harmonized index of consumer prices (HICP) climbed from 2.9% in the previous month to 3.3%. Core inflation that excludes food and energy prices remained unchanged at 2.4% in September.

The rise in the inflation rate was once again driven by the development of energy prices. Overall energy product prices were 14.9% higher than in September 2025, marking the highest increase since February 2023. The measures implemented by the federal government helped reduce electricity, natural gas, and district heating prices. Monthly, consumer prices climbed 0.6% in September. The HICP also moved up 0.6% after rising by 0.2% in the previous month. 10/13/2026 - 04:06:00 (RTTNews)

 

United Kingdom Retail Sales Growth Eases

British Pound traded at 1.3247 against USD at 9:00 AM PST

United Kingdom retail sales growth eased in September as households reduced spending amid concerns over expected rises in household bills and taxes. Total retail sales grew 1.3% year-on-year in September, weaker than the 2.3% expansion seen in the same period of the previous year. Food sales rose 2.5%, and non-food sales climbed 0.3% in September. The unusually warm weather weakened demand for clothing and footwear. 10/13/2026 - 05:43:00 (RTTNews)

 

Australia Business Confidence Weakens for Third Straight Month

Australia's business sentiment deteriorated for the third month straight in September amid concerns about higher interest rates, global uncertainty, and elevated fuel costs. The business sentiment index fell from -9 in August to -13. Meanwhile, the business conditions index was unchanged at 1 point in September, despite the employment index falling to its lowest level in five years. Small rebounds in trading conditions and profitability offset the employment fall. The trading index rose one point and profitability gained 3 points, while the employment index slid 3 points. Although capacity utilization eased 0.2% to 82.3%, it remained around 1% above its long-run average. The confidence index was 22 points lower than a year ago and at a level rarely seen in history outside of the global financial crisis and the COVID period. 10/13/2026 - 01:45:00 (RTTNews)

 

Japan Producer Prices Sink 0.3% in September

Producer prices in Japan were down 0.3% in September, the Bank of Japan said on Tuesday. Yearly, producer prices climbed 6.8%, which would have been unchanged. Export prices increased 1.4% on month and 12.4% on year in September, the bank said, while import prices added 1.0% on month and 17.7% on year. 10/12/2026 - 20:11:00 (RTTNews)


This market update is prepared by Cathay Bank for informational purposes only and does not constitute any form of legal, tax or investment advice, nor should it be considered an assurance or guarantee of future exchange rate movements or trends. This information is provided without regard to the specific objectives, financial situations or needs of any recipient. Cathay Bank does not make any representations or warranties about the accuracy, completeness or adequacy of this market update.

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