FxWirePro: Daily Commodity Tracker - 21st March, 2022 
Bank of England Expected to Hold Interest Rates at 3.75% as Inflation Remains Elevated 
Bank of Canada Holds Interest Rate at 2.25% Amid Trade and Global Uncertainty 
China Extends Gold Buying Streak as Reserves Surge Despite Volatile Prices 
Jerome Powell Attends Supreme Court Hearing on Trump Effort to Fire Fed Governor, Calling It Historic 
MAS Holds Monetary Policy Steady as Strong Growth Raises Inflation Risks 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
Non-farm payroll report on Friday, provided some support to Dollar, with stronger than expected wage growth. However, it could take much longer for wage growth to lead to higher purchase, thus to higher inflation.
FED hiked interest rate in December, in anticipation of higher inflation and to smoothen its actions over the coming years. So again its FED's actions than the actual inflation will matter for the next hike. Will FED be hiking again in anticipation of higher inflation ahead or would it prefer to wait for the inflation to actually show up. There exists serious disparity between what FED has been projecting in terms of interest rate and market expectations. FED's dot plot, latest released in December, show median expectations are for four hike this year, while market is marginally hovering between one or no hikes.
So, it is very likely that everyone would be very closely watching FED chair Janet Yellen's testimony on Wednesday, before House of Representatives and before Senate committee on Thursday.
It would be really good if greater clarity on this disparity and definition of gradual. If FED choose to hike in each meeting that won't be gradual would it, so what this gradual means in terms of hikes.
Dollar index, as of now, giving up, some of Friday's gains, trading at 96.92, down -0.15% so far.
