What are the main events for today?

Today's Economic Events

This article highlights the main economic data releases in both the European and American sessions. The European session is relatively quiet with a couple of central bank speakers, likely resulting in rangebound price action as the market anticipates the US CPI release.

Key Data in the U.S.

In the American session, the NFIB Small Business Optimism Index and the weekly ADP data will be released, but the U.S. CPI report stands out as the main event. The market anticipates the headline CPI Y/Y to come in at 2.7%, unchanged from the previous month, with a M/M figure also expected at 0.3%. The Core CPI is expected to be 2.7% Y/Y and 0.3% M/M.

Fed's Stance

The Fed indicated a pause at the most recent policy meeting, emphasizing the careful assessment of incoming data. The market projects two rate cuts this year, though the Fed forecasts only one. The latest NFP report saw unemployment drop to 4.4%, aligning with a patient Fed stance.

Central Bank Speakers

Today's central bank speakers include BoE's Governor Bailey (neutral), ECB's Kocher (neutral), and Fed's Musalem (hawkish), alongside Barkin (hawkish). Overall, today's CPI data could significantly influence the Fed's policy direction, and traders should be prepared for possible market movements.