US CPI report for October at 1:30 pm GMT was the key macro release of the day. Report was expected to show a deceleration in the headline price gauge as well as core measure staying unchanged at 4.1% YoY.
Actual data showed a bigger-than-expected slowdown in headline gauge, to 3.2% YoY, as well as an unexpected drop in core CPI to 4.0% YoY. Headline prices were unchanged compared to a month ago (0.0% MoM) while core prices were 0.2% MoM higher (exp. 0.3% MoM).
Unsurprisingly, US CPI report triggered a dovish reaction on the markets with USD slumping, indices rallying and gold moving higher.
US, CPI report for October
- Headline (annual): 3.2% YoY vs 3.3% YoY expected (prev. 3.7% YoY)
- Headline (monthly): 0.0% MoM vs 0.1% MoM expected (prev. 0.4% MoM)
- Core (annual): 4.0% YoY vs 4.1% YoY expected (prev. 4.1% YoY)
- Core (monthly): 0.2% vs 0.3% MoM expected (prev. 0.3% MoM)
US500 jumped to the highest level since September 20, 2023 following softer-than-expected CPI reading from the United States. Source: xStation5

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