Market movements at the opening of the week yesterday were slow as investors took a cautious step to wait and see first in the absence of economic data in the spotlight.
The US dollar was steady after showing a recovery at the close of trade last week, paring some of the losses it had suffered for 2 consecutive weeks.
The market is currently watching the development of the Presidential election campaign in the United States (US) with Joe Biden's decision to end his re-election campaign which could cause uncertainty in the market.
Joe Biden has confirmed his deputy, Kamala Harris will replace him as the Democratic candidate for the November election.
Several key economic data will be awaited by investors this week as the latest indicators for US monetary policy include economic growth data (GDP) and the consumer personal expenditure index (PCE).
This will be the initial preparation of investors facing next week which is more turbulent with the results of the meeting of the main central banks will be given attention including the FOMC meeting.
While the Federal Reserve (Fed) is seen to be getting closer to implementing policy easing, the situation is different with the Bank of Japan (BOJ) which is expected to tighten policy in the near future.
This situation will support the Yen currency to maintain a strengthening pattern after starting to show a recovery from falling to a 38-year low since the beginning of last July.
The BOJ had previously surprised the market by raising interest rates from negative levels to 0.10% at the March meeting and kept it there for 2 meetings after that.
