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.

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
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Mixed
Gold
Bearish
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • #Gold prices succumbed to selling pressure as the US Dollar soared this past week What is #XAUUSD facing these next few days and can these fundamental forces extend its selloff? Check out my outlook here - https://www.dailyfx.com/forex/fundamental/forecast/weekly/chf/2020/09/26/Gold-Price-Outlook-Rising-US-Dollar-Sinks-XAUUSD-Will-Losses-Extend.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/gPhy0KoW3W
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/38gTDnpPbn https://t.co/Xtk5g4JQEB
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here: https://t.co/3Wked6GBOp https://t.co/SsUguHB39W
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here:https://t.co/1oygcFMFNs https://t.co/aD1ZWhTWZp
  • The price of #oil may continue to trade in a narrow range as the rebound from the September low ($36.13) appears to have stalled ahead of the month high ($43.43). Get your #commodities update from @DavidJSong here: https://t.co/719LgjFmYG https://t.co/SSoqjONUzA
  • The Australian Dollar may extend its slide lower despite the planned easing of Covid-19 restrictions, as the market continues to price in an RBA rate cut on October 6. Get your #currencies update from @DanielGMoss here: https://t.co/HJpngnerzY https://t.co/g6X8ABQDwY
  • The Indian Rupee may be at risk to the US Dollar as USD/INR attempts to refocus to the upside. This is as the Nifty 50, India’s benchmark stock index, could fall further. Get your USD/INR market update here:https://t.co/ed4QR7QQOn https://t.co/gDWYNtm2UY
  • Technical indicators are chart analysis tools that can help traders better understand and act on price movement. Learn more about the importance of technical analysis here: https://t.co/NpC1D8y4Aa https://t.co/Q7TcbrYXjl
  • #Gold prices have plunged nearly 11% off the record highs with a breakout risking further losses. Here are technical trade levels that matter on the XAU/USD weekly chart. Get your #metals update from @MBForex here: https://t.co/7p3jPx6nQd https://t.co/yxymjCHti6
  • Traders tend to overcomplicate things when they’re starting out in the forex market. This fact is unfortunate but undeniably true.Simplify your trading strategy with these four indicators here:https://t.co/A4dqGMPylo https://t.co/yZzArpGs2h
US Dollar Pares Early Losses Following March Fed Minutes Release

US Dollar Pares Early Losses Following March Fed Minutes Release

2019-04-10 18:51:00
Rich Dvorak, Analyst
Share:

US DOLLAR, FED’S FOMC MEETING MINUTES – TALKING POINTS

  • The US Dollar Index is trying to claw its way back into positive territory on the day after the Fed released its March FOMC meeting minutes
  • The Fed minutes revealed a mixed opinion among FOMC participants with some advocating for no additional rate hikes this year while others could see the Fed raising rates
  • Looking to expand your trading knowledge? Read up on How to Trade the DXY US Dollar Index

The US Dollar pared losses immediately after the Federal Reserve released its March FOMC meeting minutes. The move higher is likely in response to the mixed opinions among Fed officials which counters market expectations for an overwhelmingly dovish publication.

US DOLLAR INDEX PRICE CHART: 1-MINUTE TIME FRAME (APRIL 10, 2019 INTRADAY)

US Dollar Index DXY Price Chart

A majority of FOMC participants voiced a belief that the progression of economic outlook and risks would likely result in leaving the Fed’s policy interest rate unchanged for the rest of 2019. That said, some participants countered that the Fed should raise rates modestly later this year if the economy evolves as currently expected with economic growth running above its long-term trend. Accordingly, the central bank’s ‘patient, wait-and-see’ approach to conducting monetary policy was echoed in the FOMC minutes.

The minutes also discussed the details behind the Fed’s latest revisions to its economic projections and plans regarding its balance sheet normalization. One area of potential concern highlighted was bleak consumer spending and relatively mediocre performance of the US labor market since its January meeting. Although, participants agreed that “the labor market had remained strong but growth of economic activity had slowed from its solid rate.”

Also noted was expectation for GDP growth to rebound ‘solidly’ in the second quarter after a transitory slowdown at the start of the year. That being said, the FOMC reiterated its view that the most probable scenario over the foreseeable future is one of sustained expansion, strong labor market conditions, and inflation in-line roughly around the Fed’s 2 percent target.

US DOLLAR INDEX PRICE CHART: DAILY TIME FRAME (SEPTEMBER 19, 2018 TO APRIL 10, 2019)

US Dollar Index DXY Price Chart

Recent commentary from Treasury Secretary Stephen Mnuchin could also be contributing to US Dollar price action. Mnuchin stated that his meeting with Chinese Vice Premier Liu He yesterday was “very productive,” adding that negotiators have “pretty much agreed on an enforcement mechanism.” Likewise, Euro performance in response to the ECB’s latest meeting also could also be weighing on the USD today.

TRADING RESOURCES

Whether you are a new or experienced trader, DailyFX has multiple resources available to help you: an indicator for monitoring trader sentiment; quarterly trading forecasts; analytical and educational webinars held daily; trading guides to help you improve trading performance, and even one for those who are new to FX trading.

- Written by Rich Dvorak, Junior Analyst for DailyFX

- Follow @RichDvorakFX on Twitter

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

DISCLOSURES