Jerome Powell testimony eyed
Markets turn to the US as the Fed Chair testifies in Washington.
The EURUSD remained largely flat overnight, hovering around $1.09 for most of the day. The pair began the day at $1.09100 and was basically flat for the first half of the day, slipping to lows of $1.08902 late in the day. It came off those lows and edged up to a high of $1.09241 a couple of hours later. It is now trading at $1.09160. The GBPUSD made some small gains overnight, overcoming a fall below $1.29. The pound opened at $1.29146 and was steady early, before dipping to a low of $1.28939 mid-session. It rebounded off those lows, hitting highs of $1.29676 late in the day. It is not far from those highs, currently trading at $1.29512.
The Dow opened and closed rather flat overnight, taking a break from recent gains made. The index opened at 29,273.47 and made some gradual gain throughout the day, peaking at 29,439.18 in late trading. The Dow fell from those highs, hitting a low of 29,207.19 before regaining some losses to close at 29,287.50. The Dax bucked the trend of the Dow to post some solid gains during yesterday’s session. The German index started the day at a low of 13,528.64 and took off early and climbing throughout the day to hit a high of 13,668.45 late. It came off those highs to eventually close at 13,625.79.
The day ahead sees the publication of plenty of data, but it is the Fed Chair that comes into focus. Jerome Powell is set to testify on the Semiannual Monetary Policy Report in Washington before the Senate Banking Committee. Meanwhile, uncertainty surrounding the coronavirus is weighing on trade and continues to have economic impacts around the world.
Other data published today includes:
UK – CB Leading Index
Europe – European Industrial Production
Australia – Westpac Consumer Sentiment
Japan – M2 Money Stock, Prelim Machine Tool Orders
NZ – Official Cash Rate, RBNZ Rate Statement, Monetary Policy Report and Press Conference
US – Crude Oil Inventories, Federal Budget Balance, FOMC Member Patrick Harker speaks
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