The dollar is little changed this morning and still remains vulnerable to market sentiment.
Donald Trump’s impeachment trial continues today. The Democrats presented their case yesterday which described Trump as having “praised, encouraged and cultivated” the violence seen at the Capitol at the beginning of this year. The defence will present their case later this week.
Inflation data released yesterday showed that US core consumer prices, which exclude volatile items such as food and energy, rose 1.4% year-on-year in January, missing market expectations of 1.5%. The month-on-month figure was 0%, lower than the expected figure of 0.2%.
In a speech yesterday, Federal Reserve Chair, Jerome Powell, said that despite the quick pace of recovery that the US has seen so far, there are still hurdles to overcome. He added, “Given the number of people who have lost their jobs and the likelihood that some will struggle to find work in the post-pandemic economy, achieving and sustaining maximum employment will require more than supportive monetary policy.”
For more on currencies and currency risk management strategies, please get in touch with your Smart Currency Business trader on 020 7898 0500 or your Private Client trader on 020 7898 0541.
