020 7898 0500In the early hours of this morning, Donald Trump gave his first State of the Union address. It passed without the level of controversy it might have done, although Trump typically boasted about just how fantastic his first year in office has been. He pointed to outdated immigration rules and warned of the threat from North Korea. Meanwhile, more storm clouds gather over the Trump election campaign’s alleged collusion with Russia. We are living in extraordinary times.
The dollar actually started the day quite well and strengthened against sterling before sliding back once more. It appears investors are not taking any risks until they see what the Federal Reserve say in their meeting minutes and the non farm payroll figures come in on Friday. A move in the greenback could happen if either of these two factors impress or disappoint. So many variables!
The Fed will meet later today and announce their interest rate decision around 7pm BST, but we will see the employment change figures for January before then. The Fed are not expected to increase rates this time around, but it will be interesting to see what sentiments are expressed by Chair Janet Yellen in her swansong meeting.
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