A new data on inflation in the USA will be released today.
US Core and normal producer price index data will be announced at 16.30 CEST.
The expectations are as follows:
Core Producer Price Index (PPI) (MoM): Expected 0.3%
Core Producer Price Index (PPI) (YoY): Expected 7.2%
Producer Price Index (MoM): Expected 0.4%
Producer Price Index (YoY): Expected 8.3%
The lower-than-expected consumer inflation data announced last week was positively received by the markets and the Nasdaq closed the day with a 7% premium.
In order for the pullback in consumer inflation to be permanent, producer inflation must also decrease. Because if the cost of the producer continues to increase, the prices in the market will continue to increase and this will return to us as inflation.
Therefore, the markets will closely follow the PPI data from the USA. If these data are below expectations, we may see further declines in the dollar index and further recovery in the markets.
Data exceeding expectations can strengthen DXY again.
DXY, which lost a lot of blood after the low inflation data announced last week, is currently trading at 106 levels. 103.9 and 100.6 levels can be followed as support.
For exclusive news, analytics and on-chain data Telegram our group, twitter our account and YouTube Follow our channel now! Moreover Android and iOS Start live price tracking right now by downloading our apps!