The dollar made a stand at the end of trading last week, after having looked like it would tumble lower. While still falling on the week, the end of week closes were significant in some sense - in that the dollar hung on right at the edge of the cliff. As such, we'll see if there is further appetite for dollar bears to go chasing this week.
There won't be much major economic data releases, at least not like what we saw last week, in the days ahead so that will leave markets to their own devices in figuring things out. Fed speakers will be a crucial factor to be mindful of, ahead of the FOMC blackout period on 22 April later this week.
For now, this is what the Fed pricing currently looks like and it is still just indicative of one more 25 bps rate hike in May. But the bigger question perhaps, is what comes after?
Fed funds futures are suggesting markets are seeing a decent amount of rate cuts to come later in the year but that will be challenged by the central bank's resolve to keep rates higher for longer. So, we shall see.
0800 GMT - SNB total sight deposits w.e. 14 April
That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.
