Welcome to Extreme Investor Network, where we provide you with unique insights and valuable information on the Stock Market, trading, and all things related to Wall Street. Today, we want to delve into the impact of German Wholesale Inflation on the European Central Bank (ECB), as well as the upcoming US Consumer Confidence data and speeches from Federal Open Market Committee (FOMC) members.
German wholesale figures are set to be released on Tuesday, May 28, and investors are keeping a close eye on them. Rising wholesale prices in Germany could lead to consumer price increases and fuel demand-driven inflation. This has implications for the ECB, which is closely monitoring inflationary pressures.
Economists are forecasting a year-on-year decline of 2.2% in German wholesale prices for April, following a 3.0% decrease in March. Any surprises in these figures could impact investor expectations regarding post-June ECB rate cuts.
In addition to the German wholesale data, ECB Executive Board member, Isabel Schnabel, is scheduled to speak, offering insights into inflation and potential interest rate cuts after June. Consumer sentiment and expectations, as reflected in the ECB Consumer Expectations Survey, will also be a key factor to watch.
Moving across the Atlantic, the US CB Consumer Confidence Index will be released on the same day. A potential decline in consumer confidence could have implications for the Federal Reserve’s rate path. FOMC members Loretta Mester and Neel Kashkari are also set to deliver speeches, adding further context to the economic outlook.
Looking ahead, near-term trends for the DAX will be influenced by Eurozone and US inflation data, as well as ECB and Fed forward guidance. Technical indicators suggest a bullish outlook for the DAX, with the index sitting comfortably above key moving averages. However, a break below certain levels could signal a reversal in the short term.
Stay tuned to Extreme Investor Network for more updates on the Stock Market, trading strategies, and insights to help you navigate the ever-changing landscape of Wall Street. Remember, knowledge is power and being informed is key to making smart investment decisions.