Weekly review: Policy differences between the European and American central banks ignite the foreign exchange market. The hawkish stance of the Federal Reserve clashes with the market's expectations of interest rate cuts

The core focus of the foreign exchange market this week is the policy differences between the European and American central banks. On the US side, despite the double pressure of slowing employment growth and falling consumer confidence, Federal Reserve officials maintained a hawkish stance, stressing that high interest rates will continue for a longer period of time. This position is in stark contrast to the market's expectations that the Federal Reserve will cut interest rates before the end of the year, causing market fluctuations.

FX678 FinanceMay 11 03:57 ET

No interest rate cuts this year? Federal Reserve officials continue to “hawk”

Currently, the market generally expects that the first drop of the Federal Reserve will occur in September, and that interest rates will only be cut once during the year.

Gelonghui FinanceMay 10 20:51 ET

Fed's Barkin: Inflation Will Hit 2% With Appropriate Time and Policy

The current economy calls for a deliberate and patient approach.

FXStreetMay 10 17:02 ET

Fed's Kashkari: I Am Cautious About Monetary Policy, Can't Rule Out Another Hike

I am in wait-and-see mode about the future of monetary policy.

FXStreetMay 10 14:40 ET

Fed's Goolsbee: Housing Remains a Significant Inflation Challenge

Further comments from Chicago Federal Reserve (Fed) President Austan Goolsbee highlighted the Fed's ongoing battle with stubborn inflation that refuses to cool off to the US central bank's 2% target.

FXStreetMay 10 13:59 ET

Canadian Wage Picture Means June Cut Still a Possibility -- Market Talk

The softening in Canadian wage growth in April keeps a June rate cut alive, even with a strong labor report for the month, BofA Securities argues.

WSJMay 10 13:34 ET