Today, the US Consumer Price Index will be announced at the timing of the weekend. Last weekend, US employment statistics showed that employee growth exceeded expectations and led to a stronger dollar, but what about the consumer price index? According to most market forecasts, month-on-month growth is expected to accelerate to + 0.7%, and year-on-year growth is expected to slow slightly to + 8.2%.
However, there is a possibility that the feeling of peak out of inflation may not be so nervous as it was announced last time. This is because the market has almost completely factored in a 0.50 percentage point rate hike for the US FOMC meeting next week. Unless the results deviate too much from market expectations, the market’s view of the FOMC next week will be unwavering.
Rather, it may be pointed out that there is a possibility that short-term adjustments will be made to the flow of this week due to the timing ahead of the weekend. In that case, the big trend of yen depreciation may stop. However, the big scenario of widening interest rate differentials between Japan and the United States is likely to continue.
Personally, I assume that it will react significantly to this inflation rate. I want to keep up with the movement of the USD after the announcement.
All the EUR buy positions yesterday were stopouts and are currently no positions.
