BoE and US CPI | Current Sentiment

Today’s Main events will be the BoE’s Monetary Policy Summary & Meeting Minutes, early in today’s New York session, followed later in the session by US Consumer Price Index, which will be highly influential in regards to expectations and the likelihood of a July hike by the Fed.

Current Sentiment:

Yesterday’s FOMC statement was slightly more dovish than anticipated with the Fed failing to explicitly indicate a potential hike in July, aside from the usual “all meetings are live rhetoric”. Fed members now see less hikes than prior forecasts. This weighed on the dollar somewhat.

The early Asian session saw GDP from NZ beat estimates at 0.7% vs 0.5% expected for Q1. Kiwi rallied over 50 pips but is now off recent highs given the risk-off tone.

The BoJ refrained from policy adjustments as we expected, and consequently the yen has boomed across the board; USDJPY down 230 pips from yesterday’s highs and further yen appreciation is expected as we approach the referendum. A ‘leave’ vote will further boost the yen for weeks after the referendum due to the uncertainty surrounding the full extent of economic ramifications.

BoE’s Monetary Policy Summary & Meeting Minutes, and US Consumer Price Index were covered in this week’s weekly risk event video here.

The post BoE and US CPI | Current Sentiment appeared first on Jarratt Davis.

Source:: BoE and US CPI | Current Sentiment

About the Author
Jarratt Davis is the world’s ranked #2 (2008-2013) Forex Trader by Barclays FX Hedge Index, following years of mastering his art as a self employed trader Jarratt has now entered the field of education and delivers the most robust Forex education package on the market. Jarratt’s mentorship is one of the only programs on the market that is conducted by a verified professional trader. Forex Alchemy readers can get the FREE mini course where Jarratt gives away some of his secrets to success by Clicking Here... [space height="20"] [social type="facebook"][/social] [social type="twitter"][/social] [social type="google-plus"][/social] [social type="youtube"][/social]

Related Posts

Leave a Reply