The US Fed is now moving to a data approach for their policy decisions

Yesterday was a slow day for markets as a lack of economic data and news meant no significant movements were seen across the major currencies. With another quiet day for economic data expected, today’s movements are to be governed by news headlines.

USD

All eyes move to tomorrow’s US CPI data for July. With a reading of 6.1 forecast, up from the previous reading of 5.9%, the Federal Reserve will be closely watching.

Thursday’s PPI reading is set to fall to 0.2%, down from the previous 1.1%. As the Fed is moving to a data-dependent approach, upcoming figures will be key in determining the bank’s policy decisions moving forward.