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How Will USD React To The US PPI?

How Will USD React To The US PPI?

Information is not investment advice

What will happen?

The US PPI will come out on Thursday, May 12, at 15:30 MT time.

The Producer Price Index (PPI) measures the average change over time in the selling prices received by domestic producers for their output. The prices included in the PPI are from the first commercial transaction for many products and some services.

Last time the index was above the expectations. However, EURUSD gained 650 points within four hours. If you traded one lot, you could have earned $650.

US PPI.png

How to trade on the US PPI?

  • If the US PPI is greater than forecast, the USD will likely strengthen against other currencies.
  • If the US PPI is lower than forecast, the USD will likely weaken against other currencies.

Instruments to trade: EURUSD, USDCAD, GBPUSD.

Open the EURUSD chart and follow the event at 15:30 MT time!

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