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Forex Today: The Fed smashes the dollar


Mar 17, 2021 21:26 GMTFXStreet News
What you need to know on Thursday, March 18:
The dollar plummeted with the US Federal Reserve decision. As widely anticipated
, the central bank left rates and quantitative easing unchanged. The Fed’s Summary of Projections showed on Wednesday that four policymakers see a lift-off in the fed funds rate from zero in 2022, compared to only one policymaker in December’s publication. Additionally, the number of policymakers who see a lift-off in the fed funds rate from zero in 2023 rose to seven from five in December.
The yield on the benchmark
10-year Treasury note soared to 1.689% ahead of the Fed, but trimmed most of its intraday gains ahead of the close, ending the day at 1.64%. ....

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AUD/USD plummets below 0.7750 on renewed USD strength


Mar 4, 2021 19:07 GMTFXStreet News
AUD/USD made a sharp U-turn in the late American session.
US Dollar Index rose to a fresh monthly high above 91.40.
10-year US Treasury bond yield shot higher after FOMC Chairman Powell’s remarks.
The AUD/USD pair came under strong bearish pressure in the late American session and lost more than 60 pips in the last hour. As of writing, the pair was down 0.45% on a daily basis at 0.7742.
DXY advances toward 90.50
The renewed USD strength seems to be weighing heavily on AUD/USD. While speaking at an event organized by the Wall Street Journal, FOMC Chairman Jerome Powell said that they would be concerned “by a persistent tightening of financial conditions broadly” and refrained from touching on the bond market turmoil. ....

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