FX.co ★ Dollar Little Changed on Friday

The dollar index was little changed around 102 on Friday, as disappointing earnings from major technology companies and renewed doubts about the durability of the AI-driven rally prompted a flight to safety. Even so, the greenback is up 0.2% for the week and 0.5% for October, as investors continue to weigh the economic outlook and the Federal Reserve’s policy trajectory. Data released Thursday showed the US economy expanded at an annualized 3.4% in Q3, beating expectations, supported by solid consumer spending and AI-related investment. Meanwhile, the US PCE price index rose 0.5% in September, its largest monthly increase since March, bolstering expectations of another Fed rate hike later this year. Although the central bank left interest rates unchanged on Wednesday, markets still assign roughly a 72% probability of a December hike, according to the CME FedWatch Tool.