- CBRT may deliver more dovish message
- US CPI inflation expected to have slowed slightly in May
- Will DOE report confirm another major build signalled by API?
12:00 pm BST - CBRT rate decision. Turkish lira regained some ground against the euro and the US dollar during the past three weeks. Dovishness of the US and European monetary authorities can be named the cause. However, markets began to speculate that CBRT may follow into their footsteps and provide some easing, for example in the form of a rate cut. Let us recall that CBRT dropped hiking bias during the meeting in April, a move that paved the way for a cut. Nevertheless, market consensus sees rates remaining intact with the main one staying at 24%.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app1:30 pm BST - US, CPI inflation for May. There is a lot of discussion on whether the Federal Reserve will slash rates in July or not. Markets are almost certain it will, given the latest lacklustre labour market reading. Deceleration in price growth could only reinforce such view and encourage Fed members to finally pull a trigger. Market expects a slow down from 2% YoY to 1.9% YoY when it comes to headline reading.
3:30 pm BST - DOE report on oil inventories. A lot of uncertainty surrounds the upcoming OPEC+ meeting. While markets are eager to know whether the output cut agreement will be extended onto the second half of the year , it is not yet known whether the group will meet at the end of June as planned earlier or at the beginning of July. Meanwhile, crude prices are being pressured by dismal API report released yesterday. In case such a major build is confirmed by today’s DOE print, oil price may look to test recent lows.
Central bankers’ speeches:
- 9:00 am BST - ECB’s Muller
- 9:15 am BST - ECB President Draghi
- 10:00 am BST - RBA’s Ellis
- 10:00 am BST - ECB Vice President Guindos
- 1:15 pm BST - ECB’s Coeure
WTI (OIL.WTI) moved lower following yesterday’s dismal API reading. Crude price eyes a retest of the demand zone ranging $51.20-52.00. A break below cannot be ruled out in case DOE report turns out to be a major disappointment. Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
