Fed Chair Janet Yellen reiterated before Congress yesterday that the Federal Reserve will most likely raise its policy rate three times this year.
The immediate result of this testimony was a rise in yields in the US Treasury market and an increase in the value of the US dollar.
The value of the United States dollar may turn out to be the fulcrum upon which the whole Trump economic policy and the future of the global monetary system turns.
As I wrote earlier in January, the battle for the place of the US dollar was started by Fed Chair Janet Yellen as Ms. Yellen moved early to confirm the Fed's independence to set monetary policy. Read more here