Should we be on high alert for sharp fluctuations in the U.S. dollar following remarks by Fed Chair Powell?

Should we be on high alert for sharp fluctuations in the U.S. dollar following remarks by Fed Chair Powell?

22.03.2024

In yesterday’s U.S. currency trading, the U.S. dollar rose against the yen despite the fact that the U.S. March PMI (Purchasing Managers’ Index) released yesterday was revised downward from the previous month’s 52.5 to 52.2. The USD/JPY pair rose from 150.268 to 151.746, rebounding after touching the 75-period moving average on the hourly chart. However, as resistance has been strong during today’s Asian session, traders should be cautious of a potential decline during U.S. trading hours.

European currencies saw the pound fall against the yen following yesterday’s Bank of England (BOE) policy rate announcement, in which the rate was kept at 5.25% as expected by the market. GBP/JPY fell from 193.497 to 191.827, dropping just below the 75-period moving average (MA) on the hourly chart. On the 4-hour chart, GBP/JPY is positioned just below the 20-period MA, so we should be cautious about whether it will continue to fall without finding support during European trading hours.

Today’s schedule includes Japan’s national CPI at 8:30, the UK’s GfK Consumer Confidence Index at 9:01, the RBA’s Semi-Annual Financial Stability Report at 9:30, UK Retail Sales, Turkey’s Economic Sentiment Index, Turkey’s Capacity Utilization Rate, and Germany’s Import Price Index at 16:00, and Germany’sIFO Business Climate Index, remarks by German Bundesbank President Nagel, the UK CBI Business Survey at 8:00 PM, Canadian Retail Sales at 9:30 PM, remarks by Fed Chair Powell at 10:00 PM, and remarks by Atlanta Fed President Bostic at 1:15 AM. We must remain highly vigilant for sharp fluctuations in the US dollar caused by key figures’ remarks.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed