EURUSD Jumps after the Greenback Was Hurt by Yellen

Janet Yellen used her speech at Jackson Hole to warn against dismantling banking regulations

Federal Reserve Chair Janet Yellen defended financial rules introduced to the US after the 2008 financial crisis at a widely anticipated speech in Wyoming on Friday.

Warning of the possible destabilizing effects of Trump's administrative and fiscal reforms, Yellen, drawing support from her colleagues, said that, in economic policy, it's better to be safe than sorry - whilst the president sees the positive effects of his reforms outweighing the possible downsides.

The Euro was inflated after Fed chief Janet Yellen stayed quiet about the hottest points, monetary policy and start of winding down its massive balance sheet in her Jackson Hole speech.

In addition, she said she was open to some of the key changes that the administration, and its nominee as Fed vice chair for regulation, Randal Quarles, want to pursue.

Against the yen, the dollar fell 0.2 percent to 109.31, while the dollar index slid to 92.542 .DXY , down 0.8 percent.

Elsewhere, GBP/USD edged up 0.22% to 1.2907, although investors remained cautious as a third round of Article 50 negotiations between the UK and European Union was set to begin in Brussels later Monday.

The GOP-controlled government has attempted to roll back major chunks of the law, including a massive House rewrite that has seen no action in the Senate.

Mostly, the economists gathered here expressed hope that people would embrace the broader benefits of trade rather than focusing on the narrow costs.

Brent futures also eased, but losses were capped as pipeline blockades in Libya slashed the OPEC country's production by nearly 400,000 barrels per day.

Advancing issues outnumbered declining ones on the NYSE by a 2.33-to-1 ratio; on Nasdaq, a 1.51-to-1 ratio favoured advancers.

She said the changes had made the financial system more resilient and she rejected arguments that Republicans critics have made that the changes have lowered bank lending and hurt economic growth. He's said that boosting US economic growth to 3% is "setting very realistic expectations". "It allows for risk-taking to continue".

Ms. Yellen said it's worth reviewing regulations - for example to help smaller banks lend to small businesses - but any adjustments should be modest.

"Having her mention the risks means to me she's keeping a December rate hike on the table", said Krosby.

Yellen's speech, delivered here to an annual gathering of central bankers, finance ministers, and economists, comes as Trump considers whether to reappoint her to a four-year term as head of the U.S. central bank. "So what I've said about my own situation is that I fully intend to serve out my term as Chair, which ends in early February".

The New York Times reported that Cohn drafted a letter of resignation in the wake of Trump's remarks about the violence at a Charlottesville, Va., white-nationalist rally.

Oil Prices were up on Friday, as Hurricane Harvey, possibly the biggest hurricane to hit the US mainland in over a decade approaches the Gulf of Mexico coast, potentially endangering the heart of the nation's oil industry.

The buck has fallen to around USD1.2875 against the pound sterling Thursday afternoon, from a high of USD1.2792 this morning.

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