Market Focus

On Tuesday, February 27, 2018, the economic calendar will not be marked by a large number of significant news. Today, the attention of market participants will be riveted to the speech of the Chairman of the Federal Reserve Powell.

On Tuesday, the debut performance of the new head of the Federal Reserve in the US Congress will take place, at which the mid-year report on monetary policy will be presented. If Powell demonstrates a hawkish tone in his speech on further interest rate hikes, it will provide significant support to the US dollar. Also, Powell will be expected to comment on the decline in stock indices since the January peak, while the profitability of the US government bonds has reached 3%. If Powell does not express his concern about this dynamic in the stock and bond market, this will support risky assets.

Alexander Sivtsov