Bullet Report: Trump shifts focus on Currencies, Dollar suffers

Today we have the first US rate decision of 2017. The FED is expected to maintain rates at the same levels. In general, the FED is expected to hike rates twice this year, with a third rate hike, very likely.

Also important today is the ADP employment report for January, which always sets expectations for the upcoming NFP report which is released on the first Friday of each month. Incoming data from consumer and business surveys point to steady hiring activity

Markets have started to price in the risks of a Trump administration after he accused Germany and Japan that they devalue their currencies in order to undermine US competitiveness. The comments sent EURUSD to an 8 week high and fueled a selloff in Asian Stock markets. The remarks indicated that the new administration is focusing on currencies as part of its approach in relation to trade.

GBPUSD experienced a quick sell off yesterday to reach 1.2411 but until the end of the session was trading up nearly to 1.2600 after Trump’s comments hurt the Dollar. Tomorrow the BoE is expected to revise up its outlook for inflation and growth, but uncertainty over Brexit is expected to cloud the outlook.

The dollar was up 0.4 percent at 113.26 yen after dropping overnight to a two-month low of 112.08. The Australian dollar was down 0.25 percent at $0.7570, losing momentum after three days of gains.

The post Bullet Report: Trump shifts focus on Currencies, Dollar suffers appeared first on Forex.Info.

Source:: Bullet Report: Trump shifts focus on Currencies, Dollar suffers

Won't your trader friends like this?
easyMarkets
About the Author
With over a decade of trading expertise and 100,000 fulfilled clients in 160 countries worldwide, easyMarkets will tick all your boxes whether you are a new or experienced trader, affiliate or introducing broker. [space height="20"] Trade 300+ markets including currencies, commodities, metals, vanilla options and indices from one place without the jargon, complicated offers and confusing terms! [space height="20"] Welcome to the exciting world of trading. Welcome to easyMarkets.

Leave a Reply

*