Daily Update- 29th March 2017
Yesterday’s Market Yesterday the dollar rose against a basket of major currencies, as investors shifted focus from Trump’s healthcare bill setback to upbeat economic data and bullish comments from Federal Reserve officials. US consumer confidence index hit 125.6 far above the expectation of 114, a figure that is highest since 2000. And further positive comments from Fed President Charles Evans and Dallas Federal Reserve Bank President Robert Kaplan on Monday, added support to the USD as both suggested that the FED would continue on its monetary tightening cycle. These sentiments were translated to US treasuries as Yields were seen at higher levels yesterday. However political uncertainty in USA still is a concern. As currencies considered Safe Heaven namely JPY and CHF remain largely subdued against the USD. Today’s Market Today’s Focus Leading up to today speeches made by FED and FOMC members addressing monitory policy and economic outlook of the USA have made positive influence for the USD it can follow in the same direction today as well, if they make comments about the economic outlook of the USA. Most of the comments made during past few days by FED and FOMC members have shared positive sentiments about the US economy. The United Kingdom is under the spotlight, as the country prepares to start triggering Article 50 of Lisbon Treaty Brexit process. This has the possibility of causing very high volatility in the FX Market.
