Spreads on currency pairs and index CFDs routinely widen in the minutes around scheduled releases such as US jobs data or central bank decisions. The quoted minimum spread in a broker's brochure rarely applies during those moments.
Why it happens
Liquidity providers quote prices by taking risk. When the next number can move the market several times the normal range, they widen their quotes to protect themselves, and some step away entirely. Fewer competing quotes means a larger gap between the best buy and sell prices.
What it means for you
- Market orders can fill several pips away from the price you clicked.
- Stops can be triggered by a temporary spike in the spread rather than by a real price move.
- Fixed-spread accounts may requote or reject orders instead of widening.
A practical routine
Check an economic calendar at the start of the day. Close or reduce positions you do not need through the release, avoid placing new market orders inside the announcement window, and compare the typical spread during news at the brokers you shortlist, not only the quiet-hour average.