Dollar Awaits Trump Speech

USD

On Tuesday, the Greenback settled high vs. its major peers, backed by higher U.S. bond yields as traders turned their attention to U.S. President Donald Trump's State of the Union speech, due later on Tuesday, for anything further he may have to say about the U.S. dollar. Additionally, investors are awaiting a Federal Reserve policy meeting, as Fed could sound a bit more hawkish as Janet Yellen's tenure comes to an end. On the release front, markets are awaiting the U.S. Consumer Confidence Index, which is expected to hit 123.0 from 122.1.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down by 0.11% at 89.07.
EUR

The Single currency rose slightly by 0.06%, to settle at $1.2389, down from the more than three year peaks of $1.2537 touched last week. On the release front, traders are awaiting Euro-Zone Gross Domestic Product s.a., which is expected to hit 2.7 from 2.6%.

GBP

The Sterling pound fell slightly by 0.02%, to settle at $1.4072. on the release front, markets are awaiting Bank of England Governor Carney Speaks Before Lawmakers.

JPY

Against the JPY, the USD fell by 0.28%, to settle at ¥108.64.

Gold

Earlier today, Gold prices rose slightly, as market players are awaiting the U.S. Federal Reserve policy meeting for fresh catalysts. It is widely expected that the Fed will raise rates in March, followed by another hike in June, with a third move higher arriving in December. Gold Futures - Feb 18 (GCG8), rose by 0.16%, to settle at $1,342.40.

Oil

Early on Tuesday, Oil prices fell For the second consecutive day, as traders looked ahead to weekly data from the U.S. on stockpiles of crude and refined products to gauge the strength of demand in the U.S. Crude Oil WTI Futures - Feb 18 (CLG8) fell as much as 0.85%, to settle at $65.00, and Brent Oil Futures - Mar 18 (LCOH8) was down by 0.42% at $68.91.



The most important economic events

EUR Euro-Zone Gross Domestic Product s.a. (YoY) (4Q A): (GMT 10:00) – Important – Forecast (2.7%) – Previous (2.6%).
EUR German Consumer Price Index (YoY) (JAN P): (GMT 10:00) – Important – Forecast (1.7%) – Previous (1.7%).
USD Consumer Confidence Index (JAN): (GMT 10:00) – Important – Forecast (123.0) – Previous (122.1).
GBP Bank of England Governor Carney Speaks Before Lawmakers: (GMT 15:30) – Important
Disclaimer
The prices and news mentioned in this outlook are absolutely no guarantee of future market performance and do not represent the view of ICM Capital Limited. Financial markets can move in either direction causing profits to be made or complete losses to be incurred by the trader. Each trader must decide for themselves what their risk appetite is and ensure that correct risk management procedures are in place before placing any trades.

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