US bond yields and the dollar rise after Powell’s reappointment as Fed chair

The reaction of the markets seems totally disproportionate, but the announcement of the reappointment of Jerome Powell as head of the Fed for a second term has led to a rise in the US 10-year rate of nearly 10bp (1.63% this morning) and has also strengthened the USD, with the exchange rate against the euro reaching 1.1226. However, the appointment of Lael Brainard as Vice-Chairman is a guarantee that employment will not be sacrificed for the sake of fighting inflation and both (Powell and Brainard) have always voted the same way.

EnergyScan economics news

The Eurozone’s consumer confidence index fell in November, which is hardly surprising given the rebound of the pandemic and the containment measures already put in place by some States. Among the major countries, only Germany appears to be under real pressure for the moment. This could be seen in the preliminary PMIs that will be published this morning for the euro zone, France and Germany. The epidemic is also starting to pick up in the US, which is not surprising given the still relatively low vaccination rates in some states.

Apart from the PMIs, the economic agenda is very light today.

Share this news :

You might also read :

ES-economy
October 25, 2021

New Covid outbreak in China

While real estate is already expected to weigh negatively on the growth of the Chinese economy in Q4, a new wave of the variant delta epidemic is affecting 11…
ES-oil
July 15, 2021

Potential deal for OPEC+ nations

ICE Brent prompt contracts declined to 74 $/b, from 76.5 $/b between Tuesday and today, as sources within OPEC+ mentioned that a deal was within…
Join EnergyScan

Get more analysis and data with our Premium subscription

Ask for a free trial here

Don’t have an account yet? 

[booked-calendar]