Today’s Focus: US Tax Vote, Economic Data, and the Federal Reserve
Published November 16, 2017
USD is down 0.15% at the time of writing on higher than expected Unemployment Claims and a disappointing print for both Import Prices and the Philly Fed Manufacturing Index (see table below). The effect was compounded by stronger than expected Canadian Manufacturing Sales data.
Another driver of weakness in the greenback this morning related to Trump’s tax plan, with at least one Republican Senator saying he will oppose the bill. US Republicans in the House of Representatives are set to take up (and perhaps pass) a broad rewrite of US tax code when they vote this morning after a meeting with Trump at 11:30am EST.
On the roster today, comments from FOMC members Lael Brainard, Robert Kaplan, Loretta Mester, and John Williams could be interesting. Markets will be listening for hints about December’s rate decision (which is largely expected) as well as clues about the rate path for 2018.
Crude oil prices are down this morning, though less sharply than in recent sessions, as markets look to the November 30 OPEC meeting in Vienna. Expectations are for the production pact to be extended, possibly until the end of 2018, in an effort to tighten global supply. WTI crude is down 0.33% to $55.15 and Brent crude is down 0.53% to $61.54 at the time of writing.