Forex Top Team

US Consumer Price Index: Headline figures lower than expected, Core exceeds expectations, causing volatility in the dollar market


The May US Consumer Price Index showed a slower-than-expected year-on-year increase in the headline figure, coming in at +4.0% compared to the previous +4.9%. On the other hand, the Core year-on-year figure decreased from the previous +5.5% to +5.3%, but still slightly surpassed market expectations. The mixed results led to rapid fluctuations in the dollar market. However, currently, market expectations for a June rate hold have increased compared to before the announcement, coinciding with a decline in US bond yields.

Based on the assessment of USD selling, positions were taken in buying AUDUSD and buying GOLD earlier.