US dollar on the defensive
The US dollar tried to make a move to the upside in early European trading but has now given it all back.
The February US retail sales report was soft but wasn't a market mover as traders view it as weather-affected.
Looking ahead, stock futures are flat and the bond market is virtually unchanged so this looks like a market waiting for guidance from the Fed. That said, there's not a clear bias into the Fed. There are certainly some fears around higher rates but that's always the fear.
Here's a good Fed preview from CNBC.
"I think the last press conference, I think I watched with one eye, and listened with one ear. This one I'm going to be tuned in to every word, and the markets are going to be tuned in to every word," said Rick Rieder, BlackRock's CIO for global fixed income. "If he says nothing, it will move markets. If he says a lot it will move markets."
