{"id":659085,"date":"2025-05-12T13:04:56","date_gmt":"2025-05-12T11:04:56","guid":{"rendered":"https:\/\/ftmo.com\/?p=659085"},"modified":"2025-05-12T14:30:43","modified_gmt":"2025-05-12T12:30:43","slug":"trading-week-ahead-week-20","status":"publish","type":"post","link":"https:\/\/ftmo.com\/en\/trading-week-ahead-week-20\/","title":{"rendered":"Trading Week Ahead: CPI, Retail Sales & Powell in Focus"},"content":{"rendered":"
Markets brace for a volatile week with CPI<\/strong> on Tuesday, retail sales<\/strong> and PPI<\/strong> Thursday, followed by Powell\u2019s speech<\/strong>. A hotter CPI or hawkish Powell could slam the brakes on rate cut hopes, while soft data may ignite a risk-on rally. Are you ready for this week?<\/p>\n \u2022 US CPI<\/strong> \u2022 US Retail Sales & PPI<\/strong> \u2022 Fed Chair Powell Speaks<\/strong>
\nInflation comes back into focus on Tuesday with April\u2019s CPI report. After a surprise decline of -0.1% last month, markets now anticipate a rebound to +0.3%. A stronger reading would likely reinforce the Fed\u2019s cautious stance, delay expectations for rate cuts, and put upward pressure on the dollar and yields. On the other hand, a weaker-than-expected result could support the dovish narrative and spark risk-on flows across markets.<\/p>\n
\nThursday brings a key data combo that could stir market volatility. Retail sales are expected to flatline at 0.0%, down sharply from the previous 1.4%, raising concerns about a slowdown in consumer spending. At the same time, PPI is forecast to rise to +0.2% from -0.4%, suggesting a potential uptick in producer-side inflation. This mix of soft demand and rising costs could complicate the Fed\u2019s outlook. If confirmed, markets may reassess the timing and pace of future rate cuts, impacting both USD and risk assets.<\/p>\n
\nJust minutes after Thursday\u2019s releases, Jerome Powell takes the stage. If he highlights easing inflation or softening economic data, markets may lean further into rate cut expectations. A more hawkish tone could support the dollar and trigger risk-off moves across asset classes.<\/p>\n