US dollar is in the red, with the Japanese yen leading the push against the greenback.
The US Dollar (USD) is trading somewhat lower against most major peers, particularly the Japanese Yen, which is approximately 0.50% stronger against US Dollar. The move follows the release of higher-than-expected Japanese inflation data.
On the economic front, the week is heating up with Durable Goods and a few sentiment indexes to come. Markets have already heard Kansas City Federal Reserve. Bank President Jeffrey Schmid stated that the Fed should be patient and not alter policy prematurely. Later on Tuesday, Michael Barr and the Fed’s Vice Chair will also speak.
Daily Market movers: A perfect appetizer with durable goods.
Kansas City Fed Jeffrey Schmid began this Tuesday’s comments by arguing that the Fed should wait and not rush into its disinflationary strategy.
Approximately 13:30 GMT Durable Goods for January are scheduled to be released:
Headline Durable Products Orders are projected to range from 0% to -4.8 percent.
Orders without Transportation are expected to rise from 0.5% to 0.2%.
As always, earlier revisions will be more crucial in determining market reaction to the statistics.
At 13:55, the weekly Red Book will be released, with 3% being the prior figure.
Near 14:00, the Housing Price Index for December will be announced, with a stable 0.3% expected.
Fed Vice Chairman Michael Barr will make comments about the same time the Housing Price Index is released.
Fast forward to 15:00, when the February Consumer Confidence Report will be issued. Previously, it was at 114.8, with 115 predicted. In addition, the Richmond Fed Manufacturing Index for February will be announced at the same time, with a previous reading of -15 and a projection of -4.
The final statistic for this Tuesday will be announced at 15:30 with the Dallas Fed Manufacturing Business Index for February, which was previously in contraction at -27.4.
Equities are modestly in the green as the Dow Jones ended its three-day winning streak. Overnight streak. China is performing well, with the Hang Seng and the Shenzhen Index both up around 1%. European shares are slightly higher, while US futures remain uncertain.
The CME Group’s FedWatch Tool predicts a Fed pause at the March 20 meeting, with a 2.5% likelihood of a rate cut.
The benchmark 10-year US Treasury Note trades at 4.26% and is nearing session lows on Tuesday.
