{"id":67693,"date":"2023-08-10T11:32:43","date_gmt":"2023-08-10T08:32:43","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=67693"},"modified":"2025-12-02T12:30:27","modified_gmt":"2025-12-02T10:30:27","slug":"us-cpi-rates-in-focus-4","status":"publish","type":"post","link":"https:\/\/www.ironfx-id.com\/ms\/us-cpi-rates-in-focus-4\/","title":{"rendered":"US CPI rates in focus"},"content":{"rendered":"

The USD tended to remain relatively unchanged against its counterparts yesterday as the market seems to have repositioned itself ahead of the release of the US CPI Rates for July later today. The headline rate is expected to remain unchanged at a month-on-month level while it is also expected to accelerate to 3.3% year on year. At the same time, the core rates are expected to remain unchanged both on a month-on-month and a year-on-year level. Should the actual rates meet their respective forecasts or even accelerate beyond market expectations that could be perceived as a sign of stubborn inflationary pressures that would require the Fed to take additional action. It should be noted that since the bank\u2019s last meeting, Fed policymakers had made conflicting statements with some implying that the bank may have reached its terminal rate or is nearing it, while others stated that more rate hikes will be required thus allowing for some uncertainty to exist regarding the bank\u2019s future intentions. Should the rates accelerate as stated before we may see the USD getting some support while a possible deceleration would be unexpected and may solidify the market\u2019s expectations for the bank to remain on hold until the end of the year and thus may weaken the USD. Yet the release is expected to have ripple effects beyond the FX market. A possible acceleration of the CPI rates could weaken US stock markets and gold prices and vice versa, a slowdown may provide some support for US equities as it may ease market worries for the Fed.<\/p>\n\n\n\n

\n