US stocks have moved higher as Powell kicks off his interview with the Economics Club of Washington DC. Says that

  • expects 2023 to be a year of significant declines in inflation .
  • But if they were to continue to come in a stronger than expected would certainly raise rates more.

So there is something for everyone, but the stock market is comfortable with the idea that Fed is not going to go too far.

Looking at the market at12:52 PM

  • Dow Industrial Average is up 152 points or 0.45%
  • S&P is up 35.37 points or 0.9%
  • NASDAQ index is up 155 points or 1.32%

Looking at the yields:

  • two year's at 4.422% -3.6 basis points
  • five year is 3.77% -4.3 basis points
  • 10 year is 3.611% -2 basis points
  • 30 year is at 3.667% -0.4 basis points

Of note, the treasury auction all three year notes at the top of the hour

The US dollar is moving lower:

  • EURUSD: EURUSD moves up to test the 50% of the 2023 range at 1.07558. There is a swing area between 1.0760 to 1.07755. Getting above that area would give buyers more confidence
  • USDJPY: The USDJPY have moved down to test the 100/200 hour MAs. The 100 hour MA comes in at 130.41. The 200 hour MA comes in at 130.229. The low reached 130.467 on the dip. The price is back at 130.54 currently
  • USDCHF. The USDCHF has also moved down to test the 200 and 100 hour MA at 0.9191 to 0.9199. The low just reached 0.9191.
  • USDCAD: The USDCAD is also moving closer to the 100/200 hour MA. The 100 hour MA comes in at 1.33695. The low reached 1.33789.