USD unperturbed as Powell sings market's......>

FOREX: USD unperturbed as Powell sings market's tune

-Data from across G10 (Eurozone CPI, US factory orders) was largely ineffectual,

with markets holding steady ahead a speech from Fed chair Powell. His comments

underscored the more recent speeches from his fellow FOMC members, highlighting

that the Fed are open to adjusting policy in the face of trade tensions that are

spilling over into macro indicators. The speech marks the beginning of a 2 day

Fed conference with a focus on reviewing the Fed's policy framework, so expect

further conjecture. USD saw little new in Powell's statement so, after a brief

bout of volatility, was relatively stable against other G10 FX.

-EMFX had a particularly mixed session, with TRY rallying to multi-month highs

while ZAR fell sharply as South African GDP fell well below expectations and as

the ANC proposed widening the central bank's mandate to include jobs and growth.

USD/ZAR rallied to just shy of multi-month highs at 14.8934.

-Focus turns to UK services PMI, Eurozone retail sales and ISM non-manufacturing

and ADP employment change from the US. BoE's Ramsden, RBA's Heath and Bostic,

Clarida and Bowman of the Fed are due to speak.