Here's what you need to know to trade today Wednesday May 15:
He US dollar (USD) is struggling to hold its own against its main rivals on Wednesday's European morning. Eurostat will publish preliminary data on the Gross Domestic Product (GDP) for the first quarter. Later in the United States, the Consumer Price Index and retail sales for April will be published, along with the New York Empire State manufacturing index.
US CPI to grow at a slower pace in April amid growing concerns about a rebound in inflation
The US Bureau of Labor Statistics reported on Tuesday that the Producer Price Index (PPI) rose 2.2% annually in April. This figure, after the 1.8% increase recorded in March, is in line with market expectations, although the monthly figure was above expectations. Although the initial market reaction helped the dollar gain strength, the improving risk climate caused the currency to lose traction later in the US session. The USD index closed on Tuesday for the second consecutive day in negative territory and was last seen fluctuating below 105.00. Meanwhile, US stock index futures are trading mixed early on Wednesday, after Wall Street's main indexes rose between 0.3% and 0.7% on Tuesday. Finally, the 10-year US Treasury yield is approaching 4.4%.
US Dollar Prices This Week
The following table shows the percentage change of the United States Dollar (USD) against the main currencies quoted this week. The US Dollar was the weakest currency against the Australian Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.50% | -0.51% | 0.39% | -0.21% | -0.58% | -0.57% | -0.04% | |
| EUR | 0.50% | -0.06% | 0.90% | 0.29% | -0.13% | -0.09% | 0.43% | |
| GBP | 0.51% | 0.06% | 0.89% | 0.33% | -0.05% | -0.03% | 0.49% | |
| JPY | -0.39% | -0.90% | -0.89% | -0.64% | -0.94% | -1.02% | -0.42% | |
| CAD | 0.21% | -0.29% | -0.33% | 0.64% | -0.34% | -0.37% | 0.08% | |
| AUD | 0.58% | 0.13% | 0.05% | 0.94% | 0.34% | -0.08% | 0.54% | |
| NZD | 0.57% | 0.09% | 0.03% | 1.02% | 0.37% | 0.08% | 0.52% | |
| CHF | 0.04% | -0.43% | -0.49% | 0.42% | -0.08% | -0.54% | -0.52% |
The heat map shows the percentage changes of the major currencies against each other. The base currency is chosen in the left column, while the quote currency is chosen in the top row. For example, if you choose the US Dollar in the left column and scroll down the horizontal line to the Japanese Yen, the percentage change that appears in the box will represent USD (base)/JPY (quote).
He EUR/USD benefited of the selling pressure surrounding the USD and gained 0.3% on Tuesday. The pair continues to stretch higher early on Wednesday and is trading at its highest level since early April, above 1.0820.
After falling towards 1.2500 in the early hours of the American session on Tuesday, the pair GBP/USD It reversed direction and advanced towards 1.2600 later in the day. The pair remains slightly below this level in the European morning.
Data from Australia showed in the Asian session that the wage price index rose 0.8% quarter-on-quarter in the first quarter. Although this data was slightly below market expectations (0.9%), it failed to cause a notable change in the pair. AUD/USD. At press time, the pair was up 0.2% and stood at 0.6640. Early Thursday, the Australian Bureau of Statistics will release labor market data for April.
He USD/JPY continued to rise, but erased a portion of its daily gains in the second half of the day on Tuesday. Early on Wednesday, the pair remains slightly below 156.50.
He Gold took advantage of the pullback seen in US bond yields on Tuesday and recovered from Monday's decline. XAU/USD remains in a consolidation phase above $2,350 early on Wednesday.
economic indicator
Consumer Price Index (annual)
Inflationary or deflationary trends are measured by periodically adding the prices of a basket of representative goods and services and presenting the data as the Consumer Price Index (CPI). CPI data is collected monthly and published by the U.S. Bureau of Labor Statistics. The CPI is a key indicator for measuring inflation and changes in purchasing trends. Generally speaking, a high reading is considered bullish for the US Dollar (USD), while a low reading is considered bearish.
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Next post: Wed May 15, 2024 12:30
Periodicity: Monthly
Consensus: 3.4%
Former: 3 ,5
Fountain: US Bureau of Labor Statistics
The US Federal Reserve has the dual mandate of maintaining price stability and maximum employment. According to this mandate, inflation should be around 2% annually and has become the weakest pillar of the central bank's directive since the world suffered a pandemic, which continues to this day. Price pressures continue to mount amid supply chain issues and bottlenecks, with the Consumer Price Index (CPI) at multi-decade highs. The Fed has already taken steps to contain inflation and is expected to maintain an aggressive stance for the foreseeable future.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
