Little changes across the board as we begin the session
All eyes are on Fed chair Powell’s testimony later today in hopes that it would provide market participants with more clues about the central bank’s monetary policy decision in a few weeks’ time. Major currencies are less than 0.1% changed against the dollar with markets looking tepid awaiting for the key risk event today.
The kiwi was a notable mover early in Asia Pacific trading with NZD/USD falling from 0.6600 to 0.6569 in a quick move with traders citing a large sell order by a European bank on the move. But price quickly retraced after as the pair now trades back at the figure level with large expiries around 0.6610 something to watch out for today.
Equities are pretty much flat with little direction while bond yields are holding a tad higher, though it isn’t giving much impetus for yen trades to move so far.
Looking ahead, we’ll have some data to move things along but it shouldn’t derail from the more notable events later in North American trading i.e. Fed chair Powell’s testimony, Bank of Canada meeting, and June FOMC meeting minutes release.