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. See our updated Privacy Policy here.

0

Notifications

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

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
US CPI Heats up to a Blistering 7.9%, Core at 6.4% In the Lead up to FOMC

US CPI Heats up to a Blistering 7.9%, Core at 6.4% In the Lead up to FOMC

Richard Snow, Analyst
Advertisement
  • US CPI (YoY) Feb = 7.9%
  • US Core CPI (YoY) Feb = 6.4%
US CPI Heats up to a Blistering 7.9%, Core at 6.4% In the Lead up to FOMC

Customize and filter live economic data via our DaliyFX economic calendar

The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.8 percent in February on a seasonally adjusted basis after rising 0.6 percent in January according to the U.S. Bureau of Labor Statistics reported today.

Additionally, core inflation ( CPI without fuel and food costs which can often be volatile) has also increased to 6.4%.

US Core CPI Data

US CPI Heats up to a Blistering 7.9%, Core at 6.4% In the Lead up to FOMC

Over the last 12 months, the all items index increased 7.9 percent before seasonal adjustment and was in line with expectations ahead of the release.

While inflation heats up, market participants turn their attention to the March inflation print which could see a massive rise in the CPI figure as a result of fuel reaching $139 per barrel.

The dollar reaction is understandably somewhat muted. Price action dipped ahead of the print, in reaction to a more hawkish stance of the ECB regarding tapering and now appears to be closing the gap. However, USD moves are likely to eb determined by the Ukraine crisis and then by monetary policy developments next week.

US Dollar Index 1 Minute Chart

US CPI Heats up to a Blistering 7.9%, Core at 6.4% In the Lead up to FOMC

Source: IG, prepared by Richard Snow

--- Written by Richard Snow for DailyFX.com

Contact and follow Richard on Twitter: @RichardSnowFX

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

DISCLOSURES