Milan – The dollar steadied on Friday as investors awaited a highly anticipated speech by Federal Reserve Chair Jerome Powell, with analysts now doubting the central bank’s boss will hint when he may start to trim asset purchases.

The market was focused this week on what signals the U.S. central bank could send at its annual Jackson Hole conference, which kicked off on Thursday in virtual format, with the main event being Powell’s speech on Friday.

The event has been often used by Fed bosses in the past to provide guidance on future policy.

Regional Fed chiefs – Dallas’ Robert Kaplan, Kansas City’s Esther George and St. Louis’ James Bullard – downplayed on Thursday the impact of the Delta coronavirus variant in separate interviews. Bullard repeated his call for the Fed to start trimming its $120 billion monthly bond purchases. 

Analysts doubt Powell will signal when the Fed may start to cut its asset purchases just yet. The rough…

Read more…

Share.

Comments are closed.