/analysis/week-ahead-markets-to-focus-on-us-cpi-ppi-and-ecb-rate-statement/
This week, market participants are closely monitoring the release of key economic indicators in the US, including the Consumer Price Index, Producer Price Index, and Retail Sales. The Rate Statement from the European Central Bank is also expected to draw significant attention. These highly anticipated releases have the potential to cause significant fluctuations in the markets, providing valuable insights for traders to guide their decisions.
Here are key events to watch out for:
In January 2023, the US witnessed a 0.5% month-on-month rise in consumer prices, the most in three months.
Analysts anticipate a 0.4% increase in February.
Producer prices for final demand in the US increased 0.7% month-on-month in January 2023, the most in seven months.
Analysts expect a 0.3% increase in February.
Retail sales in the US unexpectedly jumped 3% month-on-month in January 2023, the biggest increase since March 2021.
For February, analysts expect a 0.2% increase.
Employment in Australia unexpectedly declined by 11,500 to 13.72 million in January 2023. Meanwhile, unemployment rate unexpectedly increased to 3.7% in January 2023 from December’s near five-decade low of 3.5%.
For February, analysts estimate that 51,000 jobs will be added, while unemployment rate will be at 3.6%
The ECB raised its interest rate by 50bps to 3% in February 2023.
Markets have fully priced in a 50bps increase this month, with a chance of a similar hike to be delivered in May, after several policymakers backed the idea that rates will have to rise higher and stay higher for some time to bring inflation back to target.
The University of Michigan’s consumer sentiment for the US rose to 67 in February 2023, up from the preliminary reading of 66.4, and marking the highest level since January 2022.
Analysts anticipate that the index for this month will be in the range of 67.5 to 68.
Education
Risk Warning: Trading CFDs carries a high level of risk and may not be suitable for all investors. Leverage in CFD trading can magnify gains and losses, potentially exceeding your original capital. It’s crucial to fully understand and acknowledge the associated risks before trading CFDs. Consider your financial situation, investment goals, and risk tolerance before making trading decisions. Past performance is not indicative of future results. Refer to our legal documents for a comprehensive understanding of CFD trading risks.
The information on this website is general and doesn’t account for your individual goals, financial situation, or needs. VT Markets cannot be held liable for the relevance, accuracy, timeliness, or completeness of any website information.
Our services and information on this website are not provided to residents of certain countries, including the United States, Singapore, Russia, and jurisdictions listed on the FATF and global sanctions lists. They are not intended for distribution or use in any location where such distribution or use would contravene local law or regulation.
VT Markets is a brand name with multiple entities authorised and registered in various jurisdictions.
· VT Global Pty Ltd is authorised and regulated by the Australian Securities & Investments Commission (ASIC) under licence number 516246.
· VT Global is not an issuer or market maker of derivatives and is only allowed to provide services to wholesale clients.
· VT Markets (Pty) Ltd is an authorised Financial Service Provider (FSP) registered and regulated by the Financial Sector Conduct Authority (FSCA) of South Africa under license number 50865.
· VT Markets Limited is an investment dealer authorised and regulated by the Mauritius Financial Services Commission (FSC) under license number GB23202269.
Copyright © 2024 VT Markets.