A1 Trading Company

Ticker tape by TradingView

April 13, 2021

The Week Ahead: CPI, RBNZ, Unemployment Rate & Retail Sales

Bart Kurek

Let's look at the news event's we've got lining up this week...

USD CPI

The USD Consumer Price Index (CPI) report is releasing on Tuesday, which measures the change in the average price basket of goods and services by consumers, which can be anything from food, transportation and medical care. Changes in the CPI are used to assess price changes associated with living in the country. It is one of the most used statistics to identify periods of inflation or deflation.

Analysts expect to see very slightly stronger inflationary pressures, with the headline figure expected to be 0.5% and the core reading a 0.2% increase. If the results came out like so, we could see some short-term bullish momentum on the USD. Not a huge difference to make a huge impact, but still some progress is being made.

RBNZ Rate Statement

The Reserve Bank of New Zealand (RBNZ) Monetary Policy Decision meeting is on Wednesday, and it's expected that no actual interest rate changes are due; however, a shift in policy tone may be due.

We don't know what will be said in this meeting, and some say that the central bank will be more hawkish at this conference, given how well New Zealand has done to keep control of the effects of Covid-19 compared to its peers. However, it's also expected that RBNZ policymakers will be maximizing the low interest rates, and possibly citing the dip in economic performance for Q4 2020.

AUD Unemployment Rate

The AUD Employment Report is set to release on Thursday which shows the change in the number of employed people during the previous month. Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity. The number of unemployed people is an important signal of overall economic health because consumer spending is highly correlated with labour-market conditions.

We're expecting to see employment gains of 35.2k, which is significantly lower than the previous 88.7k, and the unemployment to ever so slightly continue dropping from 5.8% to 5.7%. The numbers are not too significant, however, progress is still progress and therefore, we could see slight strength in the NZD on Thursday.

USD Retail Sales

The USD Retail Sales Report is set to release on Thursday which shows the total value of sales at a retail level. Like we mentioned earlier, consumer spending accounts for a majority of economic activity, and therefore when citizens spend, it is a sign that people have jobs, people are making money, and people are able to spend money for whatever it is they want.

Analysts are expecting to see a 5.3% increase compared to the previous month and the core figure to show a 4.7% increase. An "Actual" greater than the "Forecast" is good for the currency, and therefore if these figures come out like so or better, expect some strength in the USD on Thursday too.

A1 Edgefinder

Smart Money Tracker
See where big money is flowing with the A1 Edgefinder's smart money tracker! With one click, see where the biggest money flows are entering and exiting through COT data.

10% off code: 'READER'

GET ACCESS NOW

VIP discord

Trade Alerts, Strategies, Chatrooms & more!

10% off code: 'READER'

LEARN MORE
What To Take Away From Powell's Remarks

Today, Fed chairman Jerome Powell spoke on the labor market and inflation. While we don't know what the future holds for the equities and currency market, we can derive certain conclusions from investors' interpretations. Here are some powerful takeaways from Powell's remarks this afternoon. Key takeaways Market Impact This caused the dollar and equities to […]

Read More
What To Expect From Today's FOMC

Today at 2:00 pm EST, the Fed will announce their latest interest rate decision. Estimates suggest a smaller hike of 25 basis points this time around. Here are some things to consider before the FOMC decision later today: The Fed has struggled to tighten their grip on inflation without causing too much disturbance in the […]

Read More
The Art of Not Trading

With the holiday season lingering on and a new year on the cusp of arrival, traders may glance at the calendar and notice there is not much economic news to anticipate on Friday to cap off a light week. In situations like these where there can be lulls in bullish and bearish momentum due to […]

Read More
DISCLAIMER: All comments made by TraderNick’s Forex Group, LLC are for educational and informational purposes only. All comments should not be construed as investment advice regarding the purchase or sale of any securities or financial instrument of any kind. Please consult with your financial adviser before making an investment decision regarding any securities or financial instruments mentioned by TraderNick’s Forex Group, LLC. TraderNick’s Forex Group, LLC assumes no responsibility for your trading and investment results. All information on any of the platforms utilized by TraderNick’s Forex Group, LLC was obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. TraderNick’s Forex Group, LLC, its employees, representatives, and affiliated individuals may have a position or effect transactions in the securities and financial instruments herein and or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies. Trading of any type involves very high risk and may not be suitable for all investors. TraderNick’s Forex Group, LLC, its subsidiaries and all affiliated individuals assume no responsibility for your trading and investment result. Read our full disclaimer here
Home
Edgefinder
VIP
Menu
homesmartphonelaptopmenu linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram