21/ 02/ 2017

BOE inflation report hearings in focus

Despite US financial markets being closed in lieu of Presidents Day Holiday US Dollar gained positive momentum against most of the major currencies due to broad based US dollar strength, in response to strengthening US treasury yields.

Todays's focus will be on Bank Of England, where they will release Inflation Report Hearings which examines the expenditure, administration and policy of HM Treasury, HM Revenue & Customs, and associated public bodies, including the Bank of England and the Financial Services Authority. This will be followed by BOE Governor Mark Carney’s testimony before the Treasury Select Committee later today on Feb inflation report.

20/ 02/ 2017

Week Ahead | Clues On The Next Rate Hike

The dollar rose against most of the other major currencies on Friday as US data came out better than expected and also Yellen sounded upbeat about the US economy. However, the US dollar struggled to gain and even reversed the initial gains before balancing things out at the end of the week.

The euro weakened broadly amid concerns that increased chances of anti-European Union Marine Le Pen winning the presidency in the second-round runoff.

In the holiday shortened week ahead, the Fed is to publish the minutes of its February meeting on Wednesday, which will be scrutinized for clues on the timing of the next rate hike. Investors will be looking to U.S. housing data in order to see whether the rise in consumer spending and inflation is translating into higher house prices and a pick-up in home sales.

16/ 02/ 2017

Dollar Still Going Strong

Yesterday evening EUR and GBP slipped down to 0.5%, after major data from US reported better than expected figures ahead of Janet Yellens Testimony in front of House Financial Services Committee. However in her testimony, she mentioned that Growth is 'quite disappointing' — but that's not the Fed's fault. She acknowledged that the economy is weak, but said Fed policies have been a help, not a hindrance.

Thursday is a busy day interms of key economic data coming from Australia, Euro Zone and USA. Markets will get another chance to check the U.S. economic pulse from another batch of data, including housing starts, building permits and the Business Outlook Survey by Reserve Bank of Philadelphia.

15/ 02/ 2017

Yellen’s Ballsy Tone Boosts the Dollar

In a day where the European session was jam packed full of notable economic announcements, it has surprisingly been the US session which has grabbed the headlines, with a ballsy Yellen sending stocks lower on tuesday.

The dollar index continues to rise to fresh highs of the day and the 10-year Treasury yield has tested 2.5%, the highest level since the start of this year. However it will be interesting to see how Trump reacts to Yellen’s comments and markets will watch out for who Trump picks to fill the vacant spots on the Fed.