Will the CPI Crash the USD?
The most impactful releases of this week will fill the market with volatility and sharp movements.
US PCE May Soar Soon
Information is not investment advice
What will happen?
The United States Bureau of Economic Analysis will release monthly Personal Consumption Expenditures (PCE) on June 30, 15:30 GMT+3. PCE Index is quite similar to Consumer Price Index (CPI). The only difference is that CPI excludes foods and energy. Food and energy can take up to 25% of PCE, but they are highly seasonal. Without these volatile components, investors consider PCE a more accurate inflation indicator.
Why is it important?
Traders keep a close watch on PCE because of the rumors that this is the Fed’s favorite inflation measure. The release in May matched the expectations. However, the EURUSD pair moved 400 points higher and 480 points lower the same day. This time volatility may be the same (or higher) as the inflation in the US is at a 40-years high. You would have earned around $400 per trade if you traded one lot.
How to trade on the US PCE release?
The results will have an impact on all the USD pairs.
- If it turns out to be higher than expected, the USD will rise.
- Otherwise, USD will fall.
Check the Economic Calendar
Instruments to trade: USDJPY, USDCAD, EURUSD.
Similar
Three Currencies to Watch This Week
We prepared an outlook of major events of this week. Check it and be ready!
The Fed won't miss these releases!
Here you'll find what awaits the market this week, from the CPI release to a possible gold plunge.
Popular
Will the CPI Crash the USD?
The most impactful releases of this week will fill the market with volatility and sharp movements.
Crypto Market Changes The Trend
Happy Tuesday, dear traders! Here’s what we follow:
The US Labor Market And Real Estate Market Are In Focus This Week
Labor Market and Real Estate Market data was published yesterday. Markets are slowing down, so the economy is in recession. Today the traders should pay attention to the Retail sales in Canada.
Choose your payment system
