Is The Dollar To Be Given A Bull Run Break Before Ben?

The market yesterday was a write-off in terms of price action, as a few sovereign nations managed to squeeze in a national holiday in parts of Europe and in Canada. This week's US fundamental highlight will be delivered tomorrow – the FOMC Minutes from the May 1st meeting and helicopter Ben's testimony on the Economic Outlook and Monetary Policy before the Joint Economic Committee, in Washington. On the whole, market price actions over the past few-days indicate that a few investors are becoming a tad nervous ahead of Ben's speech.

Some investors are anticipating that the release of Wednesday's FOMC minutes will indicate that both the Fed's 'hawks and doves' are beginning to become "increasingly uncomfortable with the current $85-billion a month asset purchase pace." The possibility of perhaps varying the monthly QE sizes may reduce the potential for an "outsized market reaction to any given adjustment." Ideally, it seems that investors are looking for confirmation of the...