Fed’s Dudley (Voter) says that the current stock market decline has no impact on the US economic outlook, if it persists it may effect spending;
BREAKING Dudley more confident Fed needs to remove accommodation BREAKING Fed’s Dudley says he thinks 3 rate hikes in 2018 still seems very reasonable BREAKING Dudley says four 2018 hikes possible if economic outlook gains BREAKING Fed’s Dudley says so many things on side of economy being stronger than expected, unlikely there will be reason not to raise rates in March BREAKING – We believe the recent move of the USD is already price in for March Rate Hike; Time to be cautious and wait for an Opportunity to Sell.
he U.S. Federal Reserve is likely to continue removing policy accommodation gradually and could hike rates three times this year, Dallas Fed President Robert S. Kaplan told a business conference in Frankfurt on Thursday. Kaplan said recent market volatility in itself was not enough to change his base scenario, although he was “highly vigilant” about the turbulence and would study whether it has any effect on the real economy. Read More @ https://www.reuters.com/article/us-usa-fed-kaplan/fed-likely-to-continue-raising-rates-kaplan-idUSKBN1FS18K
Bank of England warns interest rates could rise sooner and faster
- Sterling spiked against the dollar on the news as higher rates in an economy tend to favor the local currency with the anticipation of more investment.
- The pound nearly hit 1.400 against the greenback after trading close to 1.388. – UK is firm on domestic inflation – we now focus when to Buy THE GBP!! Read More @ https://www.cnbc.com/2018/02/08/bank-of-england-policymakers-interest-rates-unchanged.html
WHAT IS THE USD INDEX TECHNICAL SAYING?
TODAY’S NEWS THAT MIGHT AFFECT YOUR TECHNICAL CHARTS
- 8.30am – RBA stays neutral – Global economic conditions picked up further over the course of 2017. Indications are that this strength has continued into 2018. This upswing has been most pronounced in manufacturing and industrial activity, and has been more synchronised across economies than has been the case for some time. GDP growth is above estimates of potential in a number of economies and labour markets have tightened further. Although commodity prices have generally risen, broader inflationary pressures have been slow to emerge. The Chinese economy continued to grow solidly over 2017. Cheaper AUD is good for China – demand for AUD will be back soon. Look for a good support @ IM or RSI for a Buy.
- 9.30am – China data is all good for demand on CNH. We maintain SELL for USDCNH.
- 5.30pm – UK news – we are all good for a BUY on GBP. Data and BOE are hawkish moving forward.
- 9.30pm – Canada will release Employment Change – we are expecting a good data – Time to SELL USDCAD before the news release.
- 11.00pm – US will release Final Wholesale Inventory – we believe there won’t be any change. Be cautious as today is Friday – go slow on your trade and re-organise your Trading on Monday and Trade safely.
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