All eyes are on whether the pound will rebound ahead of the UK CPI release

All eyes are on whether the pound will rebound ahead of the UK CPI release

17.01.2024

Yesterday, the three major U.S. stock indices all fell, resulting in a market environment characterized by falling stock prices, rising interest rates, and lower oil prices.WTI crude oil briefly fell to $71.50. It is currently trading around $72.10. Natural gas, meanwhile, fell 9% to $2.80. All five major precious metals declined, with palladium seeing the sharpest drop, falling 3.0% from the previous day to trade in the $939 range.

Ahead of today’s UK CPI release, the pound, which had been strengthening against the yen, is now facing resistance. The GBP/JPY pair rose from 184.949 to 186.348 yesterday. It subsequently fell back to the 185-yen level and is now trending lower. On the daily chart, it appears poised to recover last month’s high, but all eyes are on today’s CPI release to see if the pound will regain ground against the yen.

Today’s economic indicators include China’s Industrial Production at 11:00, the UK’s Consumer Price Index, Retail Price Index, and Producer Price Index at 16:00, France’s Budget Balance at 16:45, the Eurozone’s Consumer Price Index at 19:00, South Africa’s Retail Sales at 20:00,at 9:00 PM: US MBA Mortgage Applications Index; at 10:30 PM: US Retail Sales, US Import Price Index, and Canadian International Securities Turnover; at 11:00 PM: Remarks by US Federal Reserve Vice Chair Bar and US Federal Reserve Governor Bowman; at 11:15 PM: US Industrial Production; at 12:00 AM: US Business Inventories;at 12:15 AM: Remarks by ECB President Lagarde; at 3:00 AM: U.S. 20-year Treasury auction results are scheduled to be announced. I intend to watch the situation carefully to see if the pound recovers ahead of the CPI release.

Past Market Reports

1. 22.04.2026New

   Will interest grow in the upside potential of the Swiss franc, which has risen against the yen?

2. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

3. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

4. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

5. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

6. 15.04.2026

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

7. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

8. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

9. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

10. 09.04.2026

    Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?