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CFDs come with a high risk of losing money rapidly due to leverage. 71% of accounts lose money when trading CFDs with this provider. You should understand how CFDs work and consider if you can take the risk of losing your money.

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 CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

71% of retail investor accounts lose money when trading CFDs with this provider.

Market Insights

Trading insight: Risk of more Fed rate hikes even though headline inflation is slowing?

Copy of Blog Images - Skilling - 2023-05-12T105108.913

Screenshot 2023-05-12 105410 Source: Tradingview May 12 2023 7:14 UTC

The above chart illustrates the US inflation rate year on year trend.

Market Talk

The power of words - USD strengthens on talks that a US Fed governor sees risk of more rate hikes despite slowing headline inflation

  • Fed governor Michelle Bowman said “Recent economic data have not provided evidence that inflation is on a clear downward path”
  • Indeed the Fed could be correct in not ruling out further rate hikes since US core inflation remains “sticky”

Screenshot 2023-05-12 105446

The above chart illustrates the US personal consumption expenditures price index (PCE) month on month trend.


Today’s economic calendar

United Kingdom GDP update

  • Month on month -0.3% (March data)
  • GDP 3 month year on year 0.5%

GBP FX Market reaction:

  • GBP strengthens slightly
  • EUR/GBP trend conditions bearish outlook
  • GBP/USD current price 1.2527; seeking to hold above support near its 25 day moving average 1.23

Norway GDP increases

  • GDP month on month increased from -0.1% to 0.4%

NOK FX Market reaction

  • NOK strengthens against the USD on the release of the GDP data; however, the USD/NOK (daily chart) remains bullish above 10.43

Screenshot 2023-05-12 105519 Source: TradingView / J. Knobel May 12 2023 6:46 UTC


USD FX cross rate 5 day percentage look back

Screenshot 2023-05-12 105544 Source: TradingView May 12 2023 7:26 UTC

  • USD/JPY current price 1.3487 vulnerable towards the downside if the 133.5 support fails to hold, upside risk seen near the 135.5s.

Screenshot 2023-05-12 105950

  • USD/CAD current price 1.3485. The bounce off the 1.33 support opens the prospect for an advance towards the 50 day moving average near the 1.3580s. Downside risk seen below the 1.33 key support.

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Not investment advice. Past performance does not guarantee or predict future performance.