BERNANKE EXPECTED TO BE DOVISH BUT NOT POLOZ
• USD is mixed leading into Chair Bernanke comments—we expect a dovish tone with the message that rates are hold for a long time.
• CAD is soft into Gov Poloz’ first rate statement, MPR & press conference. Expect hawkish bias to be maintained but uncertainty is high.
• EUR is flat as market focuses on dovish Fed potential & not negative European developments.
• GBP rallies after BoE votes unanimously to hold QE while the report on thresholds and forward guidance is pending.
• JPY is weak, but trading within recent range; news flow is light.
Read the full report: FX Daily
Scotiabank