Daily Update - 24th May 2017
Yesterday was a volatile day in terms of the Forex market as the USD and Euro went head on against each other. The USD initially gained momentum mainly due to the bill auction & due to the investors purchasing USD ahead of the FMOC minutes. Even though economic reports such as PMI’s & new home sales were negative, there was nothing that implicates that the FED have any plans to postpone the interest rate plans that will take place. Despite having a strong session for EUR the currency didn’t shift much to the positive side. The underperformance was due to the central bank & the markets concern for inflation as the price component of MPI has fell for the first time in 15 months which could push the inflation down further. Today is an eventful day in respect to market reports as data will flow in from all over the globe. The day will start off with Governor Kuroda’s Speech from the bank of Japan. We will also be having ECB President Mario Draghi’s speech which could cause some major fluctuation as they will try to influence inflation of the EUR/AED due to it trading at highs of 4.13. Bank of Canada will be having the interest rate decision for CAD and this will be followed by the event of the day, the FOMC minutes which will be closely monitored by markets for hints on the next fed rate hike. Yesterday’s Focus:
Today’s Focus:
