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Fed's Mester: ''We're beginning to see the kind of actions that we need to see''

Federal Reserve's Loretta Mester, president of the Federal Reserve Bank of Cleveland, crossed the wires in recent trade and said,'' we're beginning to see the kind of actions that we need to see."

Her comments to the Associated Press fall in following today's slew of economic data, specifically the Producer Price Index and Retail Sales. These showed disinflationary tendencies in the data and reinforced expectations that the Fed will continue to reduce its tightening pace in upcoming meetings.

"Good signs that things are moving in the right direction ... That's an important input into how we're thinking about where policy needs to go.

US Dollar update

It has been a volatile spell in the forex space with the US Dollar whipsawed on the day during the Bank of Japan deliberations and subsequent announcements combined around the weak US data. 

We are seeing the bulls move into the greenback as follows:

The hourly W-formation is a reversion pattern and the resistance could prove to be a tough nut to crack for the rest of the day. 

Author

Ross J Burland

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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