• Latest
  • Trending
  • All
Investors spooked by US CPI and Fed’s hawkishness

Investors spooked by US CPI and Fed’s hawkishness

February 11, 2022 15:15
Equities struggle amid economic and China-related concerns

Equities struggle amid economic and China-related concerns

December 29, 2022 08:55
Dollar lacks upside momentum due to lower Treasury yields

Currencies stuck in ranges as New Year holiday looms

December 28, 2022 07:01
Stocks gain, dollar eases ahead of job market data

Dollar pressured by positive risk sentiment in thin markets

December 27, 2022 04:50
Dollar lacks upside momentum due to lower Treasury yields

Dollar tries to shrug off the pressure

December 26, 2022 05:13
Investors spooked by strong US data

Investors spooked by strong US data

December 23, 2022 11:55
Dollar lacks upside momentum due to lower Treasury yields

Dollar back under pressure after short-lived relief

December 22, 2022 05:17
Risk demand reemerges cautiously, but caution remains in place

Risk demand reemerges cautiously, but caution remains in place

December 21, 2022 08:49
Dollar lacks upside momentum due to lower Treasury yields

US dollar resists selling pressure

December 20, 2022 10:44
Market sentiment dented by recession fears

Market sentiment dented by recession fears

December 19, 2022 02:53
Dollar lacks upside momentum due to lower Treasury yields

Greenback stays on the defensive nearly across the board

November 16, 2022 05:34
Investor sentiment improves, but gains limited

Investor sentiment improves, but gains limited

November 15, 2022 05:46
Dollar lacks upside momentum due to lower Treasury yields

Dollar licks wounds after plunge

November 14, 2022 05:05
  • Terms & Сonditions
  • Contact
Saturday, April 1, 2023
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Equities struggle amid economic and China-related concerns

    Equities struggle amid economic and China-related concerns

    Stocks gain, dollar eases ahead of job market data

    Dollar pressured by positive risk sentiment in thin markets

    Investors spooked by strong US data

    Investors spooked by strong US data

    Risk demand reemerges cautiously, but caution remains in place

    Risk demand reemerges cautiously, but caution remains in place

    Market sentiment dented by recession fears

    Market sentiment dented by recession fears

    Investor sentiment improves, but gains limited

    Investor sentiment improves, but gains limited

    Risk sentiment keeps deteriorating, dollar climbs

    Stocks celebrate US inflation, dollar slumps

    Virus, US-China tensions hit global markets

    Market sentiment turns cautious amid events in the US

    Investors look indecisive ahead of another volatile week

    Investors look indecisive ahead of another volatile week

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Equities struggle amid economic and China-related concerns

    Equities struggle amid economic and China-related concerns

    Stocks gain, dollar eases ahead of job market data

    Dollar pressured by positive risk sentiment in thin markets

    Investors spooked by strong US data

    Investors spooked by strong US data

    Risk demand reemerges cautiously, but caution remains in place

    Risk demand reemerges cautiously, but caution remains in place

    Market sentiment dented by recession fears

    Market sentiment dented by recession fears

    Investor sentiment improves, but gains limited

    Investor sentiment improves, but gains limited

    Risk sentiment keeps deteriorating, dollar climbs

    Stocks celebrate US inflation, dollar slumps

    Virus, US-China tensions hit global markets

    Market sentiment turns cautious amid events in the US

    Investors look indecisive ahead of another volatile week

    Investors look indecisive ahead of another volatile week

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
No Result
View All Result

Home » Investors spooked by US CPI and Fed’s hawkishness

Investors spooked by US CPI and Fed’s hawkishness

by Stephen Soo
February 11, 2022 15:15
in Fundamental analysis
0
Investors spooked by US CPI and Fed’s hawkishness

Bullard now wants a full percentage point of interest rate hikes by July 1

Wall Street stocks finished lower on Thursday after fresh economic data out of the United States showed consumer prices surged 7.5% last month on a year-over-year basis, exceeding estimates of 7.3%. Adding to a more downbeat tone, Fed’s Bullard said he now wanted a full percentage point of interest rate hikes by July 1. As such, the Dow Jones fell 1.47%, the S&P 500 shed 1.81%, and the Nasdaq Composite dropped 2.1%. Of note, the S&P 500 index is now down about 5% since the start of 2022 despite nearly 80% of the companies reporting stronger than expected quarterly earnings.

Similarly, Asian equity markets were on the defensive on Friday as the CPI report raised expectations the Federal Reserve will need to move aggressively to cool inflation. South Korean Kospi fell 0.87%, Hong Kong’s Hang Seng shed 0.38%, and China’s Shanghai Composite dropped 0.66%. In Australia, the S&P/ASX 200 lost nearly 1% after the RBA’s Lowe said that it is plausible if the economy tracks to the central bank’s forecasts rate hike will be on agenda later this year. Japanese markets were closed for a holiday.

Meanwhile, the dollar climbs along with Treasury bond yields after the data from the US showed the CPI climbed to a new four-decade high. Now, money markets are pricing a 90% probability of a 50 basis points rate hike in March. The USD index is now back around the 96.00 figure after the recent dip.

Against this backdrop, EURUSD dipped back below the 1.1400 figure to notch one-week lows around 1.1370 before trimming intraday losses marginally in recent trading. As traders continue to digest Fed’s hawkishness along with hot inflation numbers, the greenback will likely stay on the offensive in the near term. 

Tags: ASX 200EURUSDfedFederal ReserveUSUSD
Share2Tweet1
ADVERTISEMENT
Stephen Soo

Stephen Soo

Stephen's specialty is fundamental analysis. He graduated from the Booth School of Business, the University of Chicago. Stephen currently cooperates with several news agencies, and on FWNews he publishes macroeconomic news and reviews on brokerage companies.

Related Posts

Equities struggle amid economic and China-related concerns
Fundamental analysis

Equities struggle amid economic and China-related concerns

December 29, 2022 08:55
16
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Currencies stuck in ranges as New Year holiday looms

December 28, 2022 07:01
12
Stocks gain, dollar eases ahead of job market data
Fundamental analysis

Dollar pressured by positive risk sentiment in thin markets

December 27, 2022 04:50
12
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar tries to shrug off the pressure

December 26, 2022 05:13
12
Investors spooked by strong US data
Fundamental analysis

Investors spooked by strong US data

December 23, 2022 11:55
11
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar back under pressure after short-lived relief

December 22, 2022 05:17
16

Leave Your Opinion Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Investor sentiment mixed in thinner pre-holiday deals

Markets await the Fed decision

March 16, 2022 07:17
13
The dollar is lower against the European counterparts but rises versus the safe-haven Japanese yen

Stocks at fresh highs to start the week

April 19, 2021 05:10
17
Stocks mostly higher, dollar still under pressure

Stocks mostly higher, dollar still under pressure

December 30, 2020 03:49
13

Ads

Shneider Electric

Most Popular

A slow start to the week in FX markets
Technical analysis

Dollar regains ground to start the week

January 25, 2021 07:25
118
A slow start to the week in FX markets
Technical analysis

Greenback advances modestly amid strong data

May 28, 2021 07:38
110
Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war
News

Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war

July 28, 2020 08:29
95
FWNews

Copyright © 2022 FWNews

  • Terms & Сonditions
  • Contact
No Result
View All Result
  • FUNDAMENTALS
  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage

Copyright © 2022 FWNews