For the week starting Monday 20 May traders will be looking ahead to mid-week with the release of the full round of UK inflation data. It is likely to generate raised levels of volatility for GBPUSD. Consumer prices, or CPI, is likely steal the show, but there is also producer price and retail prices to underpin the release. UK headline CPI YoY forecast to drop from 3.2 to 2.7% core CPI (without food and fuel) down from 4.2 to 3.6%. So where's the risk? Well if there's a read-through from this week's US inflation which gave us a ray of hope is the risk to the downside. IGTV’s Jeremy Naylor looks at the potential performance of GBP/USD.
Subscribe ► kzread.info...
Learn how to trade with IG: upl.inc/the-world-of-ig
We provide fast and flexible access to over 17,000 financial markets - including indices, shares, forex and commodities - through our award-winning range of platforms and apps.
Established in 1974 as the world’s first financial spread betting firm, we’re the world’s No.1 provider of CFDs and spread betting* and a global leader in forex. We also offer an execution-only share dealing service in the UK, Ireland, Germany, Austria and the Netherlands.
Our range of affordable, fully managed investment portfolios rounds out our comprehensive offering to investors and active traders. Through our low fees and smart price-sourcing technology, we help traders keep their costs down.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider†. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money. Professional clients can lose more than they deposit.
* Based on revenue excluding FX (published financial statements, February 2023).
† For the 12 months preceding 1 July 2023.