Don't sleep on today's US PPI report

[forex4you]

Don't sleep on today's US PPI report

<p>In general, traders can mostly ignore the monthly PPI data. It's a noisy reading on pipeline inflation and doesn't always flow through to CPI in ways that are easy to predict.</p><p>That's not the case right now. Last month's reading on PPI caused the largest move I've seen on the release and it was released after CPI. In general, it's more of a factor when it's released before CPI and that's the case this month.</p><p>Notably, the big move after last month's report was subsequently faded so that's a good bet to be the playbook again if there's a sizeable market move. The consensus is +7.2% y/y on the headline and +5.9% y/y ex-food and energy.</p><p>The numbers are out at the bottom of the hour.</p>

                This article was written by Adam Button at www.forexlive.com.

Source: Don't sleep on today's US PPI report

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