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.

Free Trading Guides
EUR/USD
Mixed
GBP/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Oil - US Crude
Mixed
Bitcoin
Mixed
More View more
Real Time News
  • The #Euro may fall against the British Pound if no-deal #Brexit fears continue to subside and restore confidence in $GBP ahead of this month’s impending October 31 deadline. Get your market update from @ZabelinDimitri here:https://t.co/kZ0dJUd4Jq https://t.co/Bt7VuMMZrW
  • So far this week, the #JPY has been the best-performing major versus #USD with +0.13% spot returns while #NZD has been the worst with -0.37%
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 95.94%, while traders in France 40 are at opposite extremes with 87.29%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/9Q4yJsrfRI
  • EUR/USD Technical Analysis: Euro Rise Unlikely to Undo Downtrend - https://www.dailyfx.com/forex/technical/home/analysis/eur-usd/2019/10/16/EURUSD-Technical-Analysis-Euro-Rise-Unlikely-to-Undo-Downtrend.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #EURUSD #technicalanalysis
  • Forex Update: As of 04:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.17% 🇨🇭CHF: 0.09% 🇪🇺EUR: -0.02% 🇬🇧GBP: -0.25% 🇦🇺AUD: -0.32% 🇳🇿NZD: -0.36% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/la6Ae67t8c
  • Indices Update: As of 04:00, these are your best and worst performers based on the London trading schedule: Wall Street: -0.23% US 500: -0.27% France 40: -0.29% Germany 30: -0.31% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/jJoCuqFBZ3
  • Geopolitical developments send #oil prices soaring or falling. Get your market update from @MartinSEssex here:https://t.co/XVXLyG8vjq #OOTT https://t.co/Kv2LHTbEYP
  • US Dollar Technical Outlook: USD/INR, USD/SGD, USD/MYR, USD/IDR $USDINR $USDSGD #ASEAN - https://www.dailyfx.com/forex/technical/article/special_report/2019/10/16/US-Dollar-Technical-Outlook-USDINR-USDSGD-USDMYR-USDIDR.html?CHID=9&QPID=917702 https://t.co/kMf5jZVvrx
  • Overnight index swaps are now pricing in a 100% chance of an #RBNZ rate cut in November, after briefly softening following better-than-expected New Zealand CPI data earlier today #RBNZ $NZDUSD
  • The Swedish #Krona and Norwegian #Krone will be in for a tense week ahead of #Brexit-related drama and a crucial EU summit which could be a turning point for the EU-UK divorce. Get your market update from @ZabelinDimitri :https://t.co/zjTNQmDHTt https://t.co/zhR7J38A4M
US Dollar May Rise While Commodity FX Suffers on CPI Uptick

US Dollar May Rise While Commodity FX Suffers on CPI Uptick

2018-03-13 03:00:00
Ilya Spivak, Sr. Currency Strategist
Share:

Talking Points:

  • Aussie, NZ Dollar gain as markets look ahead to US inflation data
  • US Dollar may rise if CPI reboots bets on steep Fed rate hike path
  • Yen may rise as commodity bloc FX suffers if data sours sentiment

The Australian and New Zealand Dollars edged cautiously higher in otherwise quiet Asia Pacific trade. The move may reflect pre-positioning ahead of the upcoming US CPI report. The data is expected to show that the headline inflation rate edged up to 2.2 percent in February.

A print in line with forecasts would fall well within the range prevailing since September and may help cool fears about an aggressive Fed rate hike cycle. Investors breathed a sigh of relief Friday as official jobs data showed wage inflation dropped to 2.6 percent, hinting January’s spike might have been a one-off.

Further evidence reinforcing the likelihood of such a scenario would be understandably supportive for the commodity Dollars, which compete with their US namesake for the top spot on the G10 FX yield spectrum. Gains may prove fleeting however if CPI prints meaningfully higher than expected.

PMI survey data revealed the fastest service-sector price growth in five months. The manufacturing side was even more eye-catching, with factory-gate price growth at four-year high. If this is echoed in today’s release, worries about steep Fed tightening are likely to return.

This would be most obviously uplifting for the US Dollar. The perennially anti-risk Japanese Yen may also trade higher if broader risk aversion is set off. The Aussie and Kiwi Dollars look most vulnerable in such circumstances, facing dual headwinds from relative policy bets and deteriorating sentiment.

Get help building confidence in your FX trading strategy with our free guide!

Asia Pacific Trading Session

US Dollar May Rise While Commodity FX Suffers on CPI Uptick

European Trading Session

No data.

** All times listed in GMT. See the full economic calendar here.

FX TRADING RESOURCES

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

To receive Ilya's analysis directly via email, please SIGN UP HERE

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

DISCLOSURES

News & Analysis at your fingertips.