The major currency pair appears neutral on Tuesday. The current EURUSD exchange rate stands at 1.0565.
US treasury bond yields experienced a slight decline yesterday, coinciding with a drop in the value of the US dollar. In the absence of news and stock market information, investors were engaged with their preferred activity, namely looking for shifts in the rhetoric and tone of statements made by the Fed’s monetary policymakers.
Two representatives of the Federal Reserve expressed their opinion on the interest rate issue, and the market noted a shift in the comments sentiment.
Lorie Logan, the president of the Federal Reserve Bank of Dallas, said that there would be less need for hikes if long-term interest rates remain high for an extended period. She has previously adopted a more aggressive attitude.
Philip Jefferson, the Fed’s vice chair, stated that the central bank would have to proceed cautiously, considering the recent increase in bond yields.
The US resumes the release of statistics today. It is worth paying attention to September's producer price index data.