Can’t wait for the US CPI data Tuesday will bring PPI data (and a surprise from the Fed)

There is intense focus on the US CPI data due Wednesday:

• the bar for ever more hawkish surprises is getting higher

• the “most crucial CPI reading of 2024”, a “mini Super Bowl”

Prior to that, though, we get PPI data and comments from Federal Reserve Chair Powell on Tuesday:

• Coming up at 1000 US Eastern time (which is 1400 GMT) Powell participates in a moderated discussion with De Nederlandsche Bank (DNB) President Klaas Knot at annual general meeting of the Foreign Bankers’ Association

Knot is, of course, a member of the European Central Bank Governing Council (policy setting committee at the ECB). I digress.

April PPI is due:

For the PPI headline y/y the range of expectations is 2.1 to 2.3%

For the PPI excluding food and energy y/y (the red highlit data point above) the range is 2.3 to 2.5%

• for the m/m its +0.1 – 0.3%

I’ll pop up a post separately on why being aware of these ranges is important.

This article was written by Eamonn Sheridan at www.forexlive.com.