News & Analysis at your fingertips.

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. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • Bank of Japan: - Outlook highly uncertain amid Covid - Asset purchase outline unchanged - Cuts assessment of production - exports, production impacted by supply side constraints - BBG
  • Heads Up:🇯🇵 BoJ Interest Rate Decision due at 03:00 GMT (15min) Previous: -0.1% https://www.dailyfx.com/economic-calendar#2021-09-22
  • What is your forex trading style? Take the quiz and find out: https://t.co/YY3ePT7Yu8 https://t.co/Gl4naStqw1
  • Hello there traders! @FxWestwater and I collaborated to bring you a breaking news story on China's #Evergrande coupon payment $AUDUSD $NZDUSD #AUD #NZD Check out the full story here - https://www.dailyfx.com/forex/market_alert/2021/09/22/AUDUSD-NZDUSD-Soar-on-Evergrande-Debt-Deal-PBOC-Liquidity-Injections.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/nZeZUyctsX
  • Commodities Update Post #Evergrande Payment News: #Gold trading cautiously higher as #USD falls (Treasury yields rising offsetting price action slightly) Growth-linked #CrudeOil prices pushing higher as Chinese slowdown woes slightly cool https://t.co/kq1l3v5O4I https://t.co/tIuUcE0b4N
  • The Spinning Top candlestick pattern forms part of the vast Japanese candlestick repertoire with its own distinct features. Gain a better understanding of the spinning top candlestick here: https://t.co/DWm7cC4v7H https://t.co/hJOIE51SQ8
  • Evergrande Sept 23 Yuan coupon payment negotiated with holders - BBG
  • PBOC increases daily liquidity injection to 120 billion Yuan - BBG
  • Reports citing Reuters crossing the wires that China's #Evergrande main unit Hengda Real Estate will make coupon payments on onshore bonds due SEP 23 Risk-on #AUD and #NZD gaining Anti-risk #USD and #JPY weakening #SP500 futures rising ahead of the #Fed $AUDUSD $NZDUSD #Yen https://t.co/2oQgLIEtt3
  • 🇦🇺 Westpac Leading Index MoM (AUG) Actual: -0.3% Previous: -0.12% https://www.dailyfx.com/economic-calendar#2021-09-22
US Dollar Hit Hard as FOMC Members Warn Rate Hike Pace Overstated

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

Baruch Spier,

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