ING: Markets are reluctant to sell USD ahead of Powell's speech

Chris Turner, a foreign exchange analyst at ING, said in a note that market participants may be reluctant to sell the dollar before Federal Reserve Chairman Jerome Powell began testifying on Wednesday. He noted that Atlanta Fed President Bostic's comments on Monday "confirm the general view that the Fed is not in a hurry to cut interest rates." Turner added that Powell's testimony is likely to echo this view. Tonight's US ISM services data for February is unlikely to be the main driver of the market, but a repeat of the strong January data would be positive for the dollar.

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