The pulse of the FX market

The dollar recovered slightly from its loses last night, as the rise in stock prices and oil prices helped about it.

However the currency is still struggling.  The economic data was good. The actual data for The US Consumer Confidence Index was 125.6 versus 114.0 expected - the best data since 2000.
The next positive for the greenback were comments by House Speaker Paul Ryan, who thinks Republicans are united in terms of reducing taxes. From the news site Axios, it became clear that the administration of Trump wants to act on tax reform and infrastructure simultaneously, which also had a positive impact on the dollar.
With the market underpricing the Fed dot plots, comments from Fed Chair Stanley Fischer also added to the dollar appeal. Considered very close to Janet Yellen, he said he expected three raises interest rates in 2017, which strengthened support around the key level of 2.3% 10-year bonds.

Australian Dollar:

AUD broke through the level of 0.76 at night, and then quickly climb up because of the risks in the market, whicih helped to stabilize the oil and commodities prices. The latency in the Aussie puts doubt about whether the price rise was only phenomenon for one night.
Booming oil prices could provide support for the risky assets in today's session, and to keep the Aussie away from last night's levels.

Euro

Short-term overbought indicators probably startled the euro traders. Markets also took note of comments by the chief economist of the ECB - Peter Praet, who said it was too early to discuss the end of quantitative easing. Let's assume the markets never go up in a straight line.

Japanese Yen

Stable stock market supported the USD / JPY at night and previous downturns stopped to look so sinister. The market will most likely abandon its short positions in the pair. US consumer confidence will delight bulls and will provide short-term support for the dollar

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