Mar. 31: American Session
Tatiana Norkina, analyst at FBS
During the speech made by Chair of FRS Board of Governors J. Yellen, the U.S. dollar index continued to decline today, tumbling back to the 80.15 area. To date, the index has lost about 0.20%. It should be noted, though, that the major U.S. stock indexes are in the green zone. Thus, S&P500 is adding 0.73%, DJIA - 0.69%. In the meantime, inflation in the Eurozone has fallen today: the annual CPI has declined by 0.5%, against the expected 0.6%.
Against this background, the EUR/USD pair has soared to the 1.3810 mark and is now correcting from it at 1.3780. In the meantime, USD/CHF has collapsed to the 0.8830 support where it has been consolidating for the past hours.
The GBP/USD pair is playing its own game, having leapt to the 1.6675 level while waiting for Mark Carney's evening speech. The market has exceeded its maximums for the past two weeks.
The USD/JPY currency pair has touched its extremum of three weeks ago, having recovered to the 103.40 figure. However, right after that the sellers reacted and returned the prices to their Friday's levels of 103.00.