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Forex Today: Quiet Market Ahead of US CPI

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

There will be a release of US CPI data later today, with a month-on-month increase of 0.2% widely expected.

  • Markets are quiet in the absence of any real major news or themes, excepting the release later today of US CPI (inflation) data which will be eagerly digested. A month-on-month increase of 0.2% is expected. If the data matches or is lower than that estimate, it may be taken by the market as a sign that US inflation has finally peaked, which could be positive for risky assets and negative for the US Dollar.
  • In the Forex market, the US Dollar is regaining a little strength, but the market is consolidating strongly so it is hard to make any call until we see the response to the US CPI print later.
  • Stocks and other risky assets are mostly lower.
  • BTC/USD has dipped but is still held by a bullish price channel.

  • Daily new coronavirus cases globally dropped last week for the third consecutive week, reversing the earlier trend of an increasing number of confirmed cases.
  • It is estimated that 67.2% of the world’s population has received at least one dose of a coronavirus vaccination, while approximately 7.5% of the global population is confirmed to have contracted the virus at some time, although the true number is highly likely to be much larger.  
  • Total confirmed new coronavirus cases worldwide stand at over 591.4 million with an average case fatality rate of 1.09%.  
  • The rate of new coronavirus infections appears to now be most significantly increasing in Barbados, Chile, Japan, South Korea, Mongolia, Vietnam, and Serbia.  
Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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