Fed Members speeches to provide markets direction on monetary policy
Currencies Direct April 4th 2016 - < 1 minute read
Non-farm payroll numbers released from the US last week showed an uptick in the job count yet again, beating expectations whilst the unemployment rate continues to remain steady at the 4.9% mark. Inflation could also rise as a result towards the targeted level of 2% for the US economy in near future, although uncertain global headwinds and fluctuations in commodity prices have led to the Federal Reserve having to reconsider their position on the timing of further interest rate hikes. Over the last few weeks, conflicting speeches made by Federal Reserve members have put investors in a conundrum as to where monetary policy is heading for the US. Minutes of the Fed’s March meeting will be released on Wednesday and should provide a more clear indication to the markets. Other Fed members, Rosengren and Kashkari are due to give speeches today, coupled with Factory Orders data to provide further direction. EUR/USD touched the 1.14 mark last week and economic data out from the Eurozone comprising of PPI numbers and the Unemployment rate will be closely watched by the markets.
Sterling retreats against the Greenback
Sterling retreated on Friday against the Greenback as positive data emanated out from the US. Markets will be keeping a close eye on a spate of economic data later this week, mainly comprising of PMI numbers to try and ascertain the health of the UK economy. Construction PMI numbers make for the lone set of economic data to provide further direction for the Pound, though the main theme for Sterling will depend on which way the poll leads go on the referendum on whether Britain will leave or remain in Europe.