News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
Oil - US Crude
Wall Street
More View more
Real Time News
  • 🇫🇷 Balance of Trade (JAN) Actual: €-3.95B Previous: €-3.39B
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here:
  • Heads Up:🇫🇷 Balance of Trade (JAN) due at 07:45 GMT (15min) Previous: €-3.39B
  • China Foreign Ministry Spokesman Wang Wenbin: Fighting virus requires solidarity, nations to cooperate China, US should cooperate to counter virus - BBG
  • (Commodities Briefing) Gold Prices at Risk as Crude Oil Benefits from Surprise OPEC+ Output Hold #Gold #CrudeOil #OPEC #nfp
  • The New Zealand Dollar may resume its broader uptrend, with NZD/USD and NZD/JPY eyeing key rising support. NZD/CAD and NZD/CHF appear to have more room for near-term losses, however.Get your market update from @ddubrovskyFX here:
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 92.87%, while traders in Germany 30 are at opposite extremes with 66.27%. See the summary chart below and full details and charts on DailyFX:
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: 0.00% 🇨🇭CHF: -0.04% 🇯🇵JPY: -0.07% 🇪🇺EUR: -0.11% 🇦🇺AUD: -0.19% 🇳🇿NZD: -0.33% View the performance of all markets via
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: Wall Street: -0.32% US 500: -0.38% Germany 30: -0.65% France 40: -0.80% FTSE 100: -0.89% View the performance of all markets via
  • Bitcoin and Ethereum look set to climb higher in the near term, as Citigroup and Goldman Sachs prove additional validation to the cryptocurrency market. Get your market update from @DanielGMoss here:
GBP/USD Risks Larger Rebound on Sticky U.K. Core CPI- 1.55 in Focus

GBP/USD Risks Larger Rebound on Sticky U.K. Core CPI- 1.55 in Focus

David Song, Shuyang Ren,

- U.K. Consumer Price Index (CPI) to Slow for Sixth Consecutive Month.

- Headline Reading of 0.7% Would Mark Lowest Print Since 2002.

Trading the News: U.K. Consumer Price Index

The U.K. Consumer Price Index (CPI) may spark a bearish reaction in GBP/USD as easing price pressures dampen the Bank of England’s (BoE) scope to normalize monetary in 2015.

What’s Expected:


Click Here for the DailyFX Calendar

Why Is This Event Important:

However, an uptick in the core rate of inflation heighten the appeal of the British Pound and produce a larger rebound in GBP/USD as BoE Governor Mark Carney continues to prepare U.K. households and businesses for higher borrowing-costs.

For more updates, sign up for David's e-mail distribution list.

Expectations: Bearish Argument/Scenario




Construction Output s.a. (MoM) (NOV)



Markit Purchasing Manager Index Construction (DEC)



GfK Consumer Confidence (DEC)



Falling energy prices along with the slowdown in building activity may generate a dismal U.K. CPI print, and the sterling may face additional headwinds over the near-term should the report drag on interest rate expectations.

Risk: Bullish Argument/Scenario




Retail Sales ex Auto (MoM) (NOV)



Jobless Claims Change (NOV)



Average Weekly Earnings inc. Bonus (3MoY) (OCT)



However, U.K. firms may boost consumer prices amid the ongoing improvement in the labor market paired with the pickup in wage growth, and the stickiness in the core rate of inflation may encourage the BoE to adopt a more hawkish tone for monetary policy as the central bank anticipates a stronger recovery in 2015.

How To Trade This Event Risk(Video)

Bearish GBP Trade: U.K. Core Inflation Rebounds in October

  • Need red, five-minute candle following the release to consider a short British Pound trade.
  • If market reaction favors selling sterling, short GBP/USD with two separate position.
  • Set stop at the near-by swing high/reasonable distance from entry; look for at least 1:1 risk-to-reward.
  • Move stop to entry on remaining position once initial target is hit, set reasonable limit.

Bullish GBP Trade: CPI Report Falls Short of Market Forecast

  • Need green, five-minute candle to favor a long GBP/USD trade.
  • Implement same setup as the bearish British Pound trade, just in reverse.

Read More:

Price & Time: EUR/JPY Rebounds Off Key Convergence

COT: USD Records in Commercial Shorts, Spec Longs, and Open Interest

Potential Price Targets For The Release


GBP/USD Daily Chart

Chart - Created Using FXCM Marketscope 2.0

  • Looking for lower-high in GBP/USD as Relative Strength Index (RSI) comes off of oversold territory & highlights risk of larger rebound, with former support regions in focus.
  • Interim Resistance: 1.5500 pivot to 1.5520 (38.2% expansion)
  • Interim Support: 1.5000 pivot to 1.5030 (23.6% expansion)

Join DailyFX on Demandfor Real-Time Updates on the DailyFX Speculative Sentiment Index!

Impact that the U.K. CPI report has had on GBP during the last release


Data Released



Pips Change

(1 Hour post event )

Pips Change

(End of Day post event)

NOV 2014

12/16/2014 9:30 GMT





November 2014 U.K. Consumer Price Index


The U.K. Consumer Price Index (CPI) weakened to a 12-year low of 1.0% in November from 1.3% the month prior, while the core inflation rate also diminished to 1.2% during the same period to mark the slowest pace of growth since 2008. Easing price pressures may push the Bank of England (BoE) to further delay the first rate hike as price growth continues to undershoot the 2% target, but Governor Mark Carney may keep the door open to normalize monetary policy in 2015 as the central bank anticipates a stronger recovery in the year ahead. Despite the dismal prints, the bearish reaction in the British Pound was short-lived, with GBP/USD climbing back above the 1.5700 handle to close at 1.5724.

--- Written by David Song, Currency Analyst and Shuyang Ren

To contact David, e-mail Follow me on Twitter at @DavidJSong.

To be added to David's e-mail distribution list, please follow this link

Trade Alongsidethe DailyFX Team on DailyFX on Demand

Looking to use the DailyFX Trade Signals LIVE? Check out Mirror Trader.

New to FX? Watch this Video

Join us to discuss the outlook for the major currencies on the DailyFXForums

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.