Fed Chair Jerome Powell’s comments on the Jackson Hole Symposium resulted in the worst weekly candle in US500 since June.
Greenback slumps in Asia on policy concerns
On Wednesday, the evergreen buck inched down in Asia and the Japanese yen soared on safe-haven demand because President Donald Trump dared to sack FBI Director James Comeyover, reportedly unable to handle sensitive investigations. It lifted worries of a fallout for Trump’s economic policy objectives as well as ability to draw on public support.
The currency pair USD/JPY declined 0.16%, hitting 113.82, while AUD/USD hit 0.7356, soaring 0.19% after on Tuesday the Australian budget levied a tax on financial institutions to assist the government in meeting projected fiscal surplus objectives and securing its triple-A sovereign credit rating.
Tracking the US dollar’s value versus six major currencies, the US dollar index tumbled 0.15%, being worth 99.30.
Overnight, the evergreen buck traded higher versus a basket of crucial currencies, buoyed by a surge in hopes that the US major financial institution intends to have its benchmark rate lifted in June.
Last week several important economic updates influenced the Forex market. US preliminary GDP fell less than expected (0.6% actual vs. 0.7% forecast). Below you will find the key events to trade on during the week from August 29 to September 2.
The United States will publish the Inflation Rate and Core Inflation Rate, also known as US CPI and Core CPI, on August 10 at 15:30 GMT+3.
As Europe moves into recession, next week may provide us with some amazing trading opportunities. Here they are!
Main news that will drive the market in the upcoming week include CB Consumer Confidence Index, Canadian GDP, and US Core PCE Price Index
The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.