Yellen statements likely to remain consistent with FOMC message - BNPP

Yellen is due to speak at her semi-annual testimony to Congress on Wednesday and Thursday and her statement is, in view of analysts at BNP Paribas is likely to remain consistent with the message in the June FOMC minutes.

Key Quotes

“Following Fed Governor Brainard’s comments Tuesday – suggesting she needs evidence of a recovery in core inflation before another rate hike – data needs to improve before the USD can stage a recovery. US CPI released Friday will be key, we expect core CPI to have accelerated to 1.8% y/y in June.”