FOREX-Dollar softens against euro as inflation data shows cooling Updates as of 3:02 p.m. ET By Laura Matthews Aug 14 (Reuters) - The dollar softened against its major peers on Wednesday, helping the euro to a near eight-month peak, as the U.S. consumer price index showed inflation is subsiding, reinforcing expectations that Federal Reserve interest rate cuts are near.

FOREX-Dollar loses ground against euro as inflation data shows cooling Updates as of 10:20 a.m. ET By Laura Matthews and Sruthi Shankar Aug 14 (Reuters) - The dollar lost ground against its major peers on Wednesday, helping the euro to an eight-month peak, as the U.S.consumer price index showed inflation is subsiding, reinforcing expectations that Federal Reserve interest rate cuts are near.

BUZZ-FX options wrap - Risk premium, USD direction, EUR/USD targets Overnight expiry FX option implied volatility in the higher beta USD pairings was trading its biggest pre-U.S. CPI premium this year. However, Wednesday's data was basically in line with expectations and didn't prompt the excessive volatility for which options were primed. Broader FX option implied volatility has eased as the CPI risk premium was priced out and as always, is more evident in sub-one-month expiry contracts.

CANADA FX DEBT - Canadian dollar weakens, benchmark yield slips The Canadian dollar weakened against the greenback on Wednesday, and the yield on benchmark government debt slipped. The loonie CAD= was trading 0.1% lower at C$1.3719 to the greenback, or 72.89 U.S. cents, after trading in a range of 1.3701 to 1.3721. Canadian government 10-year bond yields CA10YT=RR fell 0.5 basis points to 3.029%.

FOREX-Dollar pares losses after US inflation data By Laura Matthews NEW YORK, Aug 14 (Reuters) - The U.S. dollar pared losses against a basket of currencies on Wednesday, after consumer price index data showed inflation is subsiding, doing little to support expectations of a large rate cut . The dollar index =USD , which tracks the U.S. currency against six major peers, was at 102 .59 , down 0.04%.