Plenty of activity around the world today, but it is the US where most traders will be focussing their interest.

The USD regained some strength overnight, pushing paired currencies down in the process. The EUR/USD opened at $1.17025 and climbed throughout early and mid-session trading until it peaked at $1.17457. However, it quickly gave up those gains as it fell to a low of $1.16820 in very late trading. It is not far off that at the moment, currently sitting at $1.16874. The GBP/USD was more volatile, but still weakened overnight. The pair opened at $1.31293, dipped early, but then rallied to a high of $1.31721 mid-session. The pound quickly gave up all those gains, tumbling to a low of $1.30884 a few hours later. However, it bounced back from that low in later trading and is currently at $1.31128.

The Dow proved to be volatile once again after opening at 25,333.08. It remained reasonably flat in early trading before dipping to a low of 25,298.15. It recovered from that low to rally for most of late trading, peaking at 25,510.92. In early trading today however, the Dow dropped around 160 points from it’s opening price. It is currently trading at 25,400.10. The Dax opened and closed near the same level, but it was involved in some large swings in between. The Dax opened at 12,810.75 and fell to a low of 12,375.80 quite early. It recovered from that point, rallied then stumbled before rallying again to a high of 12,861.80. The Dax fell from that high and closed at 12,804.80.

The day ahead looks quite busy, with plenty of market data set for release. The most significant however is the US Federal Funds Rate and the FOMC Statement. While the central bank is not expected to move on interest rates, the main interest will be the language used and what is being said by policymakers, namely Fed Chair Jerome Powell. Listening to the commentary can give us an insight into the Fed’s thinking in regards to monetary policy settings looking into the future. Other data set for release today includes:

China – Caixin Manufacturing PMI

Canada – Manufacturing PMI

UK – Manufacturing PMI, Nationwide HPI

Australia – Commodity Prices

Japan – Final Manufacturing PMI, Monetary Base

Europe – Italian & Spanish Manufacturing PMIs, European, German and French Final Manufacturing PMIs, Swiss bank holiday

US – ADP Non-Farm Employment Change, Final Manufacturing PMI, ISM Manufacturing PMI & Prices, Crude Oil Inventories, Construction Spending, Total Vehicle Sales

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