EUR/USD 1.15153
0.191%
Gold 3365.35
-0.235%
Oil 73.651
-1.884%
USD/JPY 146.173
0.518%
GBP/USD 1.34452
-0.080%
GBP/JPY 196.545
0.458%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
1. Ukrainian President Zelensky has reportedly imposed sanctions on companies involved in the production of Russian drones. 2. Russian President Putin: Russia does not rule out attempts to occupy the Sumy region. The situation in Ukraine is different from that in Iran, and Russia does not seek Ukraines surrender. 3. Russian Ministry of Defense: Russian armed forces have "liberated" Moskva in the Kharkiv region. The Russian armed forces "liberated" 6 settlements in a week. 4. The Kremlin: Dialogue with Ukraine continues, and we expect to agree on the date for the next round of talks next week. Refuse to predict whether a meeting between Trump and Putin is possible this year. It is difficult to predict the Ukrainian regime, and although we prefer to achieve our goals through diplomatic means, "special military operations" will continue.On June 21, Fed Governor Waller was clearly dovish last night. According to CMEs "Fed Watch": the probability of the Fed keeping interest rates unchanged in July has dropped to 83.5% (91.7% yesterday), and the probability of a 25 basis point rate cut is 16.5%. The probability of the Fed keeping interest rates unchanged in September is 29%, the probability of a cumulative 25 basis point rate cut is 60.2%, and the probability of a cumulative 50 basis point rate cut is 10.8%.Feds Daly: Corporate CEOs cautiously optimistic about tariffs.Feds Daly: Other possible tariff measures may not have as big an impact on inflation.Feds Daly: We could have a meaningful impact on inflation.

GBP/USD aims to retake 1.2300 amid an upbeat market sentiment, with US/UK Inflation in the spotlight

Daniel Rogers

Dec 13, 2022 15:11

 GBP:USD.png

 

After dipping as low as 1.2260 during the Tokyo session, GBP/USD demand has increased. The Cable is attempting to reclaim the round-level resistance of 1.2300 as investors' risk appetite has risen significantly ahead of the release of U.S. inflation data.

 

The US Dollar index (DXY) has fallen below the round-level support of 105.00 as investors' pre-US inflation jitters have dissipated. S&P500 futures are maintaining their gains from Monday due to expectations of a drop in inflationary pressures. The anticipated change in the Federal Reserve's (Fed) interest rate policy has reinforced optimism on a broader scale.

 

The street anticipates a reduction in the US Consumer Price Index (CPI), driven by a decline in gasoline costs and consumer-inflation estimates for one year. The Federal Reserve Bank of New York's monthly Survey of Consumer Forecasts reported on Monday that US consumers' one-year inflation expectations decreased to 5.2% in November from 5.9% in October, the greatest one-month reduction on record. Inflation expectations have consequently decreased to 7.3% for headline inflation and to 6.0% for core inflation.

 

On the British Pound front, investors anticipate the release of the United Kingdom Employment and CPI numbers on Tuesday and Wednesday, respectively. The quarterly Unemployment Rate (October) is anticipated to be 3.7%, up from the previously reported 3.6%. Aside from this, the statistics on Average Earnings is the most relevant aspect. Quarterly Average Earnings without Bonuses were anticipated to increase by 5.9% compared to the preceding announcement of 5.7%.

 

While it is anticipated that the headline rate of inflation in the United Kingdom would decline to 10.9% from 11.1%, as previously reported. As a result of the food supply issue, labor shortages, and growing input costs, food price inflation has soared. Investors should not overlook the possibility of an unforeseen inflation spike.

Suggestion