Speech of the US Federal Reserve System’s head with a report Humphrey-Hawkins testimony occurs only twice a year, but strongly influences the market in general.
This speech is performed before the US Congress. The principal directions of the state’s monetary policy, as well as the long-term plans for a development of a country, are considered during the speech. In this regard, we can say that the FRS head speech can form the long-term trend in the market. Its direction depends up the nature of the news.
In practice, this speech turns out to be fairly vague. Investors pay all of their attention to the discussed subjects aiming to understand what the perspectives of the interest rates being changed are. This economic indicator is very important and may have greater influence on the currency quotes’ alteration.