The US dollar managed to post a pullback following a string of losses in the previous sessions. The modest two-day recovery in the greenback saw the currency stabilizing. Politics continues to dominate the sentiment as the US Senate passed a motion to repeal the Obamacare or the Affordable Care Act.
Oil prices also edged higher yesterday after Saudi Arabia reiterated its commitment to maintain the crude oil export limit. The weekly crude oil inventory report is due to be released today with expectations of a drawdown of 3.3 million.
Looking ahead, economic data today includes the preliminary second quarter GDP data from the UK. Economists polled expect to see a 0.3% quarterly GDP growth rate in the period ending June. However, the GDP data could be weaker than expected.
Later in the day, the Federal Reserve will be releasing its monetary policy statement. No changes are expected but the Fed could signal that it will continue with its tightening policy. This includes further clarity that could be given on the balance sheet normalization.
