- The US Dollar is working on fresh two-month lows after some comments this morning from FOMC Member, Rafael Bostic, and this opens a two-day period in which the focus will be on the Fed. A slew of Fed speakers are on the calendar for the next two days, highlighted by a speech at the Economic Club of Washington from FOMC Chair Jerome Powell at Noon ET Tomorrow. This could finally help the Dollar to set on a directional move should the Fed chair echo his Friday caution around future rate hikes.
- Recovery continues across risk markets such as the Yen and US equities, each of which saw risk-driven moves show up in December. In US equities, both the Dow and S&P 500 have crossed-above key levels on the chart denoting the potential for further recovery, while USD/JPY has continued to find support at prior resistance areas, indicating that a re-test of the zone around 110.00 may soon be in the cards.
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