Some light bids in the dollar, but all eyes stay on Powell
The greenback is up to session highs for the day now, but the move isn’t too extensive for the most part. EUR/USD is down to around 1.1800 and is breaching below its 100-hour moving average as sellers look to seize some near-term control for now:
Elsewhere, cable is also down to 1.3165 from around 1.3200 levels earlier while AUD/USD and NZD/USD are paring some of their slight gains from earlier in the session.
I wouldn’t look too much into this until we hear from Powell later on. Stocks are still tepid while Treasuries are also waiting on what Powell has to say before moving.
If anything, this just looks to be some slight positioning ahead of the key risk event.