No major giveaways for upcoming monetary policy strategies from both the Fed and the ECB post-Jackson Hole. The two central bank chiefs were focused on the changes taken place a decade after the financial crisis, however markets still managed to see some optimism as their words suggested that the financial system is now safer and global recovery is picking up.
The euro reacted positively however as it pushed to fresh highs of 1.1959 against the USD this morning. The euro’s rise last Friday and earlier today is being attributed to President draghi’s no-mention of the single currency’s bout of strength and did not talk down the currency. The US Dollar was lower last Friday as well.
At Friday’s close both DJIA and the S&P both closed into positive territory. In the US focus is now also shifting to Trump’s much awaited tax reforms as he is expected to start publicly campaigning this week.
Sentiment looks rather subdued this morning in Asia, with the major indices depicting mixed results. Pressuring the mood was the impact of Hurricane Harvey on the US Gulf Coast and the potential damage to oil refineries that led to a stronger price for oil.
