CPI release: what to expect

Traders Den

Get bitesize analysis for the upcoming Consumer Price Index release.

The release of the Consumer Price Index (CPI) is approaching, and we wanted to reach out to make sure you’re ready for this highly anticipated event.

What to expect from this month’s CPI
Here are a few things to consider when trading this month’s CPI:

  • Annual headline inflation could edge up in the data for October to 3.8% compared to the previous 3.7%. The core figure might decline to the same from the previous 4.1%.
  • The chance of a single hike by the Fed at its next meeting on 13 December is now less than 10%, that seems unlikely to change unless the upcoming data show a significant uptick in the rate of inflation.
  • M30’s ATR for gold around last month’s data peaked at $2.92. Volatility might be similar this time but seems unlikely to be significantly lower. The focus is on how the dollar might move around the news and particularly whether $1,950 remains a possible support.
    Get ready for the upcoming CPI release by funding your account.
    What is the CPI?
    The CPI is a crucial economic indicator that measures changes in the average prices of goods and services over time. It provides valuable insights into inflation and can have a significant impact on financial markets. As traders, it’s always good to stay informed and capitalize on such market-moving events.

Remember, trading around major economic events like the CPI release requires caution and risk management. The markets can be volatile during these periods, so make sure to set appropriate an stop loss and monitor your positions closely.