Wednesday will be a big day on the forex, as it features the release of several primary market movers. Headlining the group will be Jerome Powell’s semi-annual Congressional testimony. The festivities kick off at 11:00 AM EST on Capitol Hill, about 90 minutes after the Wall Street cash open. A variety of topics will be covered, including a prepared statement from Powell and Q&A with select members of Congress.

In addition to the inquiry conducted by the Joint Economic Committee, Wednesday marks the release of U.S. CPI figures for October. The key economic number to watch tomorrow is Core CPI. It is expected to grow to 0.2% monthly, and hold firm at 2.4% on a year-over-year basis.

Inflation has been a huge concern of the Powell-led FED for most of the past two years; if CPI disappoints, get ready for the media hype to begin surrounding an early-2020 rate cut.

USD/CHF Reverses Course Ahead Of Powell

At press time (2:30 PM EST), the USD/CHF is challenging daily support at 0.9923. This is an important level and one that may determine the validity of November’s early uptrend.

Overview: Given the testimony of Powell and U.S. CPI, the Swissy is in a position to move directionally over the course of the next 24 hours. If the USD/CHF settles below daily support today, we may see a hard test of 0.9900 on tomorrow’s super-charged news cycle.

To reiterate, lagging inflation has been a big concern for Jerome Powell and the FED. Should CPI come in weaker-than-expected, it will likely garner attention during the Q&A portion of tomorrow’s testimony. This could stimulate talk of further rate cuts and drive the USD/CHF south of the .9900 handle by Wednesday’s close.