| Time | Country | Event | Period | Previous value | Forecast | Actual |
|---|
| 01:30 | China | PPI y/y | December | -3% | -2.6% | -2.7% |
| 01:30 | China | CPI y/y | August | -0.5% | -0.4% | -0.3% |
| 07:00 | United Kingdom | Manufacturing Production (YoY) | November | 0.2% | 1.7% | 1.3% |
| 07:00 | United Kingdom | Industrial Production (YoY) | November | -0.5% | 0.7% | -0.1% |
| 07:00 | United Kingdom | GDP m/m | November | -0.3% | 0.2% | 0.3% |
| 07:00 | United Kingdom | GDP, y/y | November | -0.1% | 0.2% | 0.2% |
| 07:45 | France | CPI, y/y | December | 3.5% | 3.7% | 3.7% |
During today's Asian trading, the US dollar fell slightly against major currencies, while market participants continued to analyze the US inflation report, which exceeded economists' forecasts, but had little effect on the prospects for easing the Fed's monetary policy.
The US Dollar Currency Index (DXY), which tracks the dynamics of the dollar against six currencies (euro, swiss franc, yen, canadian dollar, pound sterling and swedish krona) fell by 0.05% to 102.24. Yesterday's data showed that the overall US consumer price index increased by 0.3% m/m in December, and the annual growth was 3.4%, against expectations of 0.2% and 3.2%, respectively. Core consumer prices, excluding volatile items such as food and energy, rose by 0.3% in December compared with the previous month, which coincided with the November figure and was in line with market expectations. The annual core inflation fell to 3.9% from 4% in November, but exceeded expectations (+3.8%). Despite the latest data, traders are pricing in a 66.3% chance of a 0.25% Fed rate cut in March and a 98.4% probability of a rate cut in May 2024, according to the CME Group's FedWatch Tool. Meanwhile, Chicago Fed Bank President Austan Goolsbee signaled he's not sure if there's been enough progress for the Fed to start cutting rates. In addition, yesterday, Cleveland Fed President Loretta Mester said that the latest CPI data means that the Fed is probably too early to cut its interest rate in March.
The Australian dollar rose 0.3% against the US dollar, while investors analyzed economic data from China (Australia's main trading partner). The National Bureau of Statistics said consumer prices rose 0.1% mom in December after falling 0.5% mom in November. Economists had expected an increase of 0.2%. On an annual basis, CPI fell 0.3% versus forecasts for a decline of 0.4% after slipping 0.5% in November. Meanwhile, the rate of decline in producer prices slowed to 2.7% per annum from 3% per annum in November. Consensus estimates suggested a decrease of 2.6% per annum.