šŸ”„šŸ”„ Two Important Days

šŸ”„šŸ”„ Two Important US reports.

CPI (Consumer Price Index) and NFP (Non-Farm Payrolls) are two key economic indicators in the United States that significantly influence financial markets.

1ļøāƒ£. CPI (Consumer Price Index)

🩸What is itā“

CPI measures the average change over time in the prices paid by urban consumers for a basket of goods and services—essentially, it’s a primary gauge of inflation.

🩸Who publishes itā“

The U.S. Bureau of Labor Statistics (BLS).

🩸When is it publishedā“

Monthly, typically around the 10th to 15th of each month, covering data from the previous month.

🩸Market Impact:

A higher-than-expected CPI suggests rising inflation, which may lead the Federal Reserve to raise interest rates, often strengthening the USD and pushing stocks lower.

A lower CPI can lead to expectations of rate cuts or easing, often weakening the USD and boosting equities.

2ļøāƒ£. NFP (Non-Farm Payrolls)

🩸What is itā“

NFP tracks the number of jobs added or lost in the U.S. economy, excluding farm workers, government employees, and private household workers. It's a key employment indicator.

🩸Who publishes itā“

Also by the U.S. Bureau of Labor Statistics (BLS), as part of the monthly Employment Situation Report.

🩸When is it publishedā“

On the first Friday of every month, covering employment data from the previous month.

🩸Market Impact:

Strong NFP numbers signal a healthy economy, potentially prompting rate hikes, strengthening the USD, and sometimes hurting stocks due to rate fears.

Weak NFP data can do the opposite: boosting stocks (rate cut hopes) and weakening the dollar.