We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
GBP/USD
Bullish
USD/JPY
Mixed
Gold
Bullish
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • #Forex Forecast via @DailyFX: US Dollar Technical Outlook on $DXY, $AUDUSD, $USDCAD, $USDJPY & $EURUSD Full Analysis ⬇️ https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2019/11/17/usd-price-us-dollar-chart-forecast-dxy-audusd-usdcad-usdjpy-eurusd.html
  • Further escalation in Hong Kong will likely bode poorly for risk appetite https://t.co/0NjUd3ahBu
  • How should you trade around event risks and what steps can you take to improve your trading psychology? Find out from @JoelKruger, a trading consultant and mentor. Only on Global Markets Decoded. Missed the episode? Read up here:https://t.co/JWIGJk4vKa https://t.co/WB39x4GP99
  • Poll - Does your personality match your #tradingstyle? Vote and find out from @WVenketas here: https://t.co/vREsUIWSJd https://t.co/Ft0ExAmMpq
  • #Dow Jones hits record high, however, central bank liquidity prompts volatility implosion. #FTSE 100 among underperformers with focus remaining on politics. Get your #equities market update from @JMcQueenFX here: https://t.co/EOFleGSeBp https://t.co/ecAyfSUeAM
  • RT @C_Barraud: 🇪🇺 #ECB’s Muller Says More Assets Could Join Stimulus List in Slump - Bloomberg https://t.co/roGEgu0VTQ
  • With increasing volatility in weather patterns, how might storms, hurricanes and floods rattle the supply chain for petroleum-based products and impact crude oil prices? Find out from @JStanleyFX here:https://t.co/O4dgBl47fq https://t.co/OQYqZAYt9S
  • Currency Strategist,@PaulRobinsonFX is a Swing trader. What is your #tradingstyle? Take the quiz and let us know: https://t.co/LPBOcS0Vtd https://t.co/WzRYeqRhUL
  • Despite what your #tradingstyle is, you should be keeping a trading journal. How can you start keeping a trading journal? Find out: https://t.co/0akgWbyJEw https://t.co/4ehMlN4zv1
  • The Euro’s struggle to move higher against a range of currencies continues and without further support this is likely to continue into the year-end. Get your $EURUSD market update from @nickcawley1 here: https://t.co/myZ7R0eGUb https://t.co/12WJd53Cx4
US Dollar Hit Hard as FOMC Members Warn Rate Hike Pace Overstated

US Dollar Hit Hard as FOMC Members Warn Rate Hike Pace Overstated

2014-04-09 18:51:00
Baruch Spier,
Share:

Talking Points:

  • FOMC members warn that forecasts overstate the rate hike pace
  • No support found in minutes for Yellen’s 6-month timeline
  • US Dollar falls to a 4-month low against the Aussie

Want to trade with proprietary strategies developed by FXCM? Find out how here.

Several Fed officials warned in the March Federal Reserve meeting that forecasts overstated the rate hike pace, and the minutes from the meeting failed to support Chair Yellen’s comment that a rate hike may commence six months after the end of quantitative easing.

The minutes also reported that FOMC participants saw a slack persisting in the labor market, but the Fed members also expect a gradual decline in unemployment. Regarding inflation, most Fed members saw inflation rising towards the 2% goal.

Since Yellen mentioned the possibility of a rate hike in her press conference following the March meeting, speculation that the Fed may raise rates by the first half of 2015 has grown. Yellen has since tried to counterbalance her hawkish forecast by saying at the end of March that the economy will need extraordinary support for some time. Today’s minutes may have further supported the theory that Yellen’s ‘six-months’ comment was more of an off the cuff response to a reporter than a calculated timeline supported by the FOMC.

AUD/USD 1-Minute: April 9, 2014

US-Dollar-Hit-Hard-as-FOMC-Minutes-Warn-Rate-Hike-Pace-Overstated_body_Picture_1.png, US Dollar Hit Hard as FOMC Members Warn Rate Hike Pace Overstated

The Australian Dollar rallied just about 50 pips following the release of the minutes and set a new 4-month high at .9399 at the time of this writing. Currency Analyst David Song said AUD/USD may face a larger pullback in the coming days, as it nears trendline resistance.

Chart created by Baruch Spier using Marketscope 2.0. Add DailyFX Support/Resistance to your charts at FXCM Apps.

-- Written by Baruch Spier, DailyFX Research. Feedback can be sent to instructor@dailyfx.com .

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.