- Analytics
- News and Tools
- Market News
- USD: Markets will inevitably doubt Fed guidance but no reason to change core bearish USD view yet - MUFG
USD: Markets will inevitably doubt Fed guidance but no reason to change core bearish USD view yet - MUFG
eFXdata reports that MUFG Research discusses its reaction to yesterday' drastic upside surprise in US CPI print for the month of April.
"There were upside risks heading into this inflation print and we were yesterday deliberating market responses to a 0.3% m/m core CPI print versus a 0.4% print. So the 0.9% m/m gain was a complete shocker and way off the scales."
"The problem is that the expectations of the extent of this transitory jump in inflation have now shifted and this will result in two developments. Firstly, greater doubt over the long-term consequences – if the jump is now going to be considerably higher than expected, the longer-term implications will be more uncertain. Secondly, market participants’ faith in the communications of the Fed will be considerably less predictable."
"Still, we do not see this as a reason for a fundamental re-assessment of our core view."
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
