The Dollar Stabilises Ahead Of Powell's Second Day Of Testimony
Market comments on behalf of Wael Makarem Financial Markets Strategists Lead at Exness
July 11, 2024 (Investorideas.com Newswire) The US dollar has stabilised after small gains this week and remained below the key level of 105 points, near its five-week low. The market could remain cautious ahead of the second day of testimony of Federal Reserve Chair Jerome Powell before Congress. His words could fuel some volatility in the markets as traders continue to look for clues regarding the next steps in monetary policy. During his comments yesterday, Powell recently emphasised that any upcoming adjustments to interest rates would depend on the Fed becoming more confident that inflation will reach its 2% target. Powell's remarks tempered expectations for an imminent rate cut to a certain extent, although they remain elevated for September when monetary policy is expected to start softening. Treasury yields also remained stable to a certain extent but could be exposed to the downside if Powell's comments today are viewed as dovish. Attention could later turn to the release of inflation data tomorrow. The data could strongly affect the strength of the dollar and the direction of yields. While core inflation is expected to remain unchanged a surprise could drive an increase in volatility where a decline in core inflation could pull treasury yields and the dollar to the downside.
More Info:
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investing involves risk and possible losses. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. Contact management and IR of each company directly regarding specific questions.
More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/
Global investors must adhere to regulations of each country. Please read Investorideas.com privacy policy: https://www.investorideas.com/About/Private_Policy.asp