The U.S. inflation release holds the second-largest impact score on FX markets after the Non Farm Payrolls. Economists expect January inflation to decelerate to 2.9% in the headline and to 3.7% in the core figure
Looking at the previous year, retail sales comes as the third most relevant release to the USD, this week's docket holds both inflation and sales data
We have seen the dollar post a negative immediate reaction to U.S. CPI reports 8 out of the last 12 events. In terms of magnitude, U.S. inflation releases are have seen larger USD downside moves than upside over the last year
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