The yen rose to session highs against the dollar as Powell spoke.

Federal Reserve Chairman Powell: The inflation initially driven by commodity demand does appear to be short-lived, and the Fed overestimated the speed at which the economy would return to normal.

Federal Reserve Chairman Powell: I am proud that the Federal Reserve takes confidentiality seriously. If a data leak occurs, there will be serious consequences.

Federal Reserve Chairman Powell: Usually we know the possible (interest rate) outcomes before the FOMC meeting.

Federal Reserve Chairman Powell: The test now is that officials want to be confident that inflation is coming down, and more good data will increase confidence, and the Fed has been getting such data recently.

Federal Reserve Chairman Powell: Now that inflation has fallen, the next focus will be on the Fed’s dual mission.

Federal Reserve Chairman Powell: We will not incorporate political factors into our decision-making.

Federal Reserve Chairman Powell: Decisions will be made based on changing data and outlook.

Federal Reserve Chairman Powell: No signal will be sent today regarding any specific meeting.

Federal Reserve Chairman Powell: Political violence has no place in the country and he is glad that Trump was not seriously injured.

According to AXIOS: Senior Israeli officials said the political and security cabinet will meet tomorrow evening to discuss how to reach a deal with Hamas on the kidnapped persons.

BlackRock CEO: I am deeply concerned about the US government’s deficit problem.

It was learned on the 15th local time that heavy rainfall in Nangarhar Province in eastern Afghanistan has caused 35 deaths and an estimated 230 injuries. Local officials said the injured have been sent to local hospitals.

Binance: Appoints Guilherme Nazar as Head of Latin America.

We expect the ECB to remain on hold in July, with its emphasis on data dependence suggesting this week’s meeting is unlikely to bring big news. That said, we will be watching for any updates from the ECB on the outlook for economic activity, inflation, and policy. While growth indicators in the June ECB economic projections were weaker than expected, the inflation forecasts were firm. We expect the ECB to judge the data to broadly confirm the medium-term outlook, mirroring the language of its April meeting. Furthermore, the ECB will reiterate its “data-dependent and meeting-by-meeting approach” without pre-committing to a specific rate path. While we expect limited further progress on inflation over the summer, we think the ECB is likely to cut rates again in September.