When is US CPI/Retail Sales and how could affect USD/JPY?

The US Census Bureau will publish the results of Retail Sales figures for the month of February, while the Bureau of Labor Statistics will release its inflation figures tracked by the CPI for the same period, all scheduled for 1230h GMT.

Market consensus sees headline consumer prices to have risen at an annualized 2.7% (vs. January’s 2.55) while prices stripping Food and Energy costs are seen climbing 2.2% over the last twelve months.

Regarding Retail Sales, prior surveys see headline sales to have expanded at a meagre 0.1% inter-month, while sales excluding the Autos sector are seen gaining 0.2%, both forecasts showing a drop from January’s readings.

What about USD/JPY?

Spot continues to look to US yields for direction, particularly the 10-year reference. Positive surprises today should add to the already solid US fundamentals, collaborating further with extra tightening at the FOMC meeting later today. The pair faces interim resistance at last week’s tops in the mid-115.00s ahead of the 115.90 area, coincident with the 61.8% Fibo retracement of the 2017 drop.