Markets ahead of US inflation data
Today traders await the US inflation data to be out at 15:30 MT. Jump in to get fresh trade ideas for today!
The GBP awaits the GDP release
The British Q4-2019 preliminary GDP is released at 11:30 MT time on Tuesday.
Instruments to trade: GBP/USD, EUR/GBP, GBP/JPY
In the third quarter of 2019, British GDP rose by 0.4%. That was a bit higher than the expected 0.3% growth and helped the GBP to stay afloat. However, even though this news was positive for the UK, the impact on the GBP was quite limited. That is, if we measure the movement of GBP/USD or EUR/GBP in each of the two days of the indicator release (we remember it always comes in two steps: preliminary figure, bringing a more powerful impact, and final figure, which is normally just an adjustment of the preliminary one).
For this reason, you may expect the GBP to grow stronger against its counterparts on a better-than-thought British GDP growth rate, but the reaction may not be noticeable unless the discrepancy between the forecast and the actual number is really big. If you trade short-term, however, a momentary impact on the pound may be more intense, so you can use it to make a profit.
- If the indicator overshoots the forecast, the GBP rises.
- If the indicator comes lower than expected, the GBP falls.
Similar
Will US inflation push USD further up?
The American inflation rate is announced on Tuesday at 15:30 MT. It’s an important event for traders as it will impact hugely currency pairs with the USD.
USD, gold, Alibaba and more on April 12
In this article, you'll find the latest news and tech analysis of EUR/USD, gold, and GBP/USD!
Latest news
Stocks that make news this week
Check our story about the stocks that have the potential to go either up or down big time! In this article, we'll tell you about Nvidia, Apple, Philip Morris, and Coinbase.
The pack of PMIs to boost the euro
Once in a month, the euro has a very special day of increased volatility at the start of the European trading session.
USD/TRY: testing all-time highs
The relationship between the US and Turkey is not going well. Neither do things for the Turkish lira.
Deposit with your local payment systems
