Packed Economic Calendar Puts Dollar in the Spotlight, ECB Decision Awaited
Markets today are eyeing a flurry of key U.S. economic data, including jobless claims, flash PMI readings for both manufacturing and services, and new home sales. On the European side, attention turns to the European Central Bank's interest rate decision, with expectations of a pause following previous rate cuts. These events are expected to spark volatility across both EUR/USD and broader dollar pairs.
Trump's Visit to the Fed Raises Fresh Questions About Central Bank Independence
In a politically charged move, U.S. President Donald Trump is visiting the Federal Reserve, intensifying pressure on Chair Jerome Powell to deliver rate cuts of up to 3%. Trump has also criticized the $2.5 billion renovation cost of the Fed’s headquarters. This situation adds to growing concerns over the Fed’s independence and could increase market uncertainty if any politically-driven statements are made.
What Could Move the Market Today?
Weaker-than-expected jobless claims or PMI numbers could weigh on the U.S. dollar and support gold and equities. On the flip side, stronger data or signals of tightening pressure—whether from the Fed or political circles—may push bond yields higher and provide temporary support to the dollar. Traders are also bracing for tomorrow’s U.S. durable goods orders, which could further shift sentiment before the weekly close
