The dollar dropped initially after Federal Reserve Chair Janet Yellen made some hawkish comments during her speech late this morning, but quickly reversed and has turned sharply higher. Yellen stated that the case for another interest-rate hike has strengthened recently. Her comments propelled the U.S. currency higher, overshadowing some lackluster economic data earlier this morning.
“In light of the continued solid performance of the labor market and our outlook for economic activity and inflation, I believe the case for an increase in the federal funds rate has strengthened in recent months,” Yellen said in a speech prepared for delivery to the Jackson Hole summit.
However, the Fed’s decision “always depends on the degree to which incoming data continues to confirm the Fed policy committee’s outlook.”
U.S. economic activity in the second quarter grew by slightly less than initially estimated, according to a report released by the Commerce Department on Friday.
The report said gross domestic product increased by 1.1 percent in the second quarter, reflecting a downward revision compared to the originally reported 1.2 percent growth. The revision matched economist estimates.
Consumer sentiment in the U.S. unexpectedly saw a slight decline in the month of August, according to a report released by the University of Michigan on Friday. The report said the final reading on the consumer sentiment index for August came in at 89.8 compared to the initial estimate of 90.4.
The downward revision came as a surprise to economists, who had expected the index to be upwardly revised to a reading of 90.7.
The dollar has jumped to a week and a half high of $1.1205 against the Euro Friday afternoon, from a low of $1.1340.
German consumer sentiment is set to develop positively in September as Brexit vote seems to have caused only temporary uncertainty, survey results from the market research group GfK showed Friday.
The forward-looking consumer climate index rose to 10.2 in September from 10.0 in August. The score was forecast to remain unchanged at 10.0 in September.
France’s gross domestic product stagnated as estimated in the second quarter, the second estimate from the statistical office Insee showed Friday. Gross domestic product remained flat from the prior quarter, after expanding 0.7 percent in the first quarter.
France’s consumer confidence improved unexpectedly in August, though marginally, figures from the statistical office INSEE showed Friday. The consumer confidence index rose to 97.0 in August from 96.0 in the previous month. Economists had expected the index to remain unchanged at 96.0.
The buck has broken out to a 3-session high of $1.3130 against the pound sterling Friday afternoon, from a low of $1.3278.
The U.K. economy expanded at a faster pace in the second quarter as previously estimated, in run-up to the EU referendum, the second estimate from the Office for National Statistics showed Friday. Gross domestic product grew 0.6 percent sequentially after rising 0.4 percent in the first quarter. The growth figures matched preliminary estimate published on July 27.
British business investment increased in the three months to June, marking the first growth since the third quarter of last year, figures from the Office for National Statistics showed Friday. Business investment rose 0.5 percent from the first quarter, when it declined 0.6 percent. In the same period last year, business investment grew 1.6 percent.
The greenback has surged to a 2-week high of Y101.680 against the Japanese yen this afternoon, from a low of Y100.193 this morning.
Consumer prices in Japan slipped 0.4 percent on year in July, the Ministry of Internal Affairs and Communications said on Friday – matching expectations and unchanged from June’s annual reading.
Core CPI, which excludes volatile food costs, slid 0.5 percent on year – missing forecasts for -0.4 percent, which would have been unchanged.
Its like you read my mind! You appear to know a lot about this, like you wrote the book in it or something.
I think that you could do with a few pics to drive the message home a bit, but other than that, this is great
blog. An excellent read. I will certainly be back.
Great post.
I truly do are in agreement with every one of the ideas you may have introduced
on your own post. They can be really convincing
and definately will certainly work. Nonetheless, the posts are too quick for starters.
Could you please prolong them a little bit from next
time? Thanks a lot for that post.
Touche. Outstanding arguments. Keep up the good work.
Hi, Neat post. There exists a challenge along with
your site in web explorer, would test this? IE still is
the marketplace leader and a massive component to folks will miss
your excellent writing as a result of this challenge.
Right now it seems like Movable Type is the preferred blogging platform out there right now.
(from what I’ve read) Is that what you’re using on your blog?
You actually ensure it is appear very easy along with your presentation but I
find this matter to become really something that I do
believe I’d never understand. It kind of feels
too complex and extremely extensive for me personally. I’m going for a look forward with your next create, I’ll try to receive the
cling of this!
Thanks for sharing your thoughts. I truly appreciate your efforts and I will be waiting for your next post thanks once again.
If some one desires expert view concerning blogging and site-building following that i recommend him/her to pay a visit this internet
site, Maintain the good job.
Hi! I know this is kinda off topic however i was wondering which blog platform are you currently
using just for this website? I’m getting sick and tired of
Wordpress because I’ve had problems with hackers and
I’m considering alternatives for the next platform. I would personally
be awesome if you could point me in the direction of an excellent platform.