The United States will release the advance GDP growth rate for the previous quarter on July 30, at 15:30 MT time.
Evergreen buck struggles on Powell’s remark
On Friday, the evergreen buck struggled for direction due to the fact that Fed Chair Jerome Powell came up with a statement that he would have the balance sheet changed if required.
Powell, who was delivering a speech at a Brookings Institution event alongside Janet Yellen as well as Ben Bernanke, told that the key US bank would act rapidly if market worries outweigh the firm economic data. He stressed that the major US financial institution is capable of adjusting its policy flexibly and instantly if required.
In addition to that, Fed Chair stressed that notwithstanding trade tensions putting pressure on Chinese consumers, the statesman expects the leading Asian country as well as other emerging markets to stay consistent with the rest of the surge in the world.
Positive jobs data uncovered earlier in the trading session ramped up the likelihood that the Fed will have rates lifted next year.
Gauging the purchasing potential of the American dollar versus its primary rivals the USD index went down by 0.11% being worth 95.77. The evergreen buck managed to surge versus its Japanese counterpart. The currency pair USD/JPY added 0.6% trading at 108.31.
Moreover, the currency pair EUR/USD stood still at 1.1401 because of the higher greenback as well as the gloomy eurozone data. In December, eurozone consumer prices rallied at a slower-than-anticipated tempo, ramping up expectations that the ECB will keep interest rates intact.
Furthermore, the UK pound surged because the services sector speeded up in December. The British economy is losing momentum ahead of Britain’s departure from the European bloc. The currency pair GBP/USD managed to ascend by 0.44% being worth 1.2686.
The currency pair USD/CAD dived by 0.7% coming up with .3387. NZD/USD tacked on by 0.5% trading at 0.6724. As for AUD/USD, it rallied by 1.26% hitting 0.7091.
The US unemployment claims are announced on Thursday at 15:30 MT time.
The Australian Monetary Policy Meeting Minutes are announced on Tuesday at 04:30 MT time.
The US NFP will be published on August 7 at 15:30 MT time.
The market sentiment is indeed risk-on today. Stocks, riskier currencies and gold are rising amid the waning US dollar.
Follow the BOE monetary policy and rate statements on August 6 at 14:00 MT time…