US Dollar begins rally on manufacturing beat
Potential Fed candidate Kohn makes hawkish comments
USD pares earlier gains despite dovish RBA minutes
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A look back at the past 24 hours of Forex trading using movements in the US Dollar Index
US Dollar 15-Minute 08:00 09/13 to 08:00 09/16 EST
Charts created by Benjamin Spier using Marketscope 2.0
The US Dollar saw some significant gains over yesterday’s North American session. The gains seemed to initially be sparked by a better than expected Empire Manufacturing Index, and did not slow for a slightly disappointing US industrial production for August.
However, the greenback may have continued to rise on a headline involving the newer candidate for Fed chief, Donald Kohn. Kohn said that easy monetary policies risk creating financial problems. The statement seemed to place Kohn as the more hawkish alternative to Yellen, after former potential Fed Chief candidate Summers withdrew his bid.
Right before the start of the European session, the US Dollar Index showed a reversal of some of the earlier gains. The declines continued after a brief pause following the release of RBA minutes, which sent AUD/USD lower on comments that there is still room for another rate cut.
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— Written by Benjamin Spier, DailyFX Research. Feedback can be sent to bbspier@fxcm.com .
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.Learn forex trading with a free practice account and trading charts from FXCM.
Source: Daily fx
