Fill in your details below to log in to your MyAccount area.
Sterling stabilises, Trump press conference in focus
The greenback is ticking slightly higher ahead of today’s press conference which is set to be held by President elect Donald Trump at 4pm GMT, although opinions are divided as to how sustainable any impact on the dollar will be. On one side, there’s talk of aggressive stimulus measures that could pump inflation and in turn lead to an even more hawkish stance at the Federal Reserve, whilst on the flipside, Mr Trump may also make reference to dollar strength and the damaging effect this is having on exports. He failure for USD/JPY to make a sustainable move above 116 is perhaps testament to the short term uncertainty that lies ahead.
The Aussie dollar is finding fresh support and continues to drift higher, helped by that news out of China of some unexpected gains for commodity prices. Upside here could yet be short lived depending on the next steps from the US, especially over the Trans Pacific Partnership trade deal, although again the reality may be softer than the narrative we heard from Trump last year. Again today’s press conference could be the best hope for fresh direction here, with limited economic data for release from Canberra in the coming days.