19 Jul 2013
Flash: FX consolidation theme to remain intact – TD Securities
FXstreet.com (New York) - The TD Securities Team analyzes the repercussions of the recent Bernanke testimonials and their effect on FX trading.
Gold the lone casualty?
“Markets have been calm and consolidative in the aftermath of Bernanke’s testimonials – his focus on the Fed being broadly accommodative (i.e. no rate hikes) for quite some time saw US 10 year yields push below 2.50%—where they continue to hover—and equities decently supported; although his comments weren’t enough to prevent gold from trading lower.”
Overall, the Fed Chairman didn’t offer much more than we heard from him last week. “We can expect a bit more choppiness in the FX space to close out the week, but the consolidation theme to likely remain intact.”
Gold the lone casualty?
“Markets have been calm and consolidative in the aftermath of Bernanke’s testimonials – his focus on the Fed being broadly accommodative (i.e. no rate hikes) for quite some time saw US 10 year yields push below 2.50%—where they continue to hover—and equities decently supported; although his comments weren’t enough to prevent gold from trading lower.”
Overall, the Fed Chairman didn’t offer much more than we heard from him last week. “We can expect a bit more choppiness in the FX space to close out the week, but the consolidation theme to likely remain intact.”