Yesterday Monday was little active as most markets observed the Labour Day Holiday. The Core PCE figures, which is the Fed’s preferred Inflation measure, fell short of the Central Bank’s 2% target. Euro strengthened against the Dollar after weak US Factory and Inflation figures came in less than expected. Sterling weakened against the Dollar, Australian Dollar edged higher as Data showed a downturn in Home Prices. The RBA is expected to hold rates at 1.5% after Tuesday’s Meeting. As Oil prices fell, the Canadian Dollar rallied.
In an interview with Bloomberg Monday, President Trump said that he is “looking” at the idea of breaking up the United States’ biggest banks, mainly through some revived version of Glass-Steagall, the Depression-era laws that separated Commercial and Investment Banks. Market Analysts are focused however, on this week’s meeting of the Federal Reserve’s rate-setting committee, which starts on Tuesday, maybe more closely than previously thought.