Dollar drops broadly after Fed stands pat, removed “patience” with “will act as appropriate” (statement) . In the new economic projections, Fed forecasts no change in interest rate in 2019, but projects one rate cut in 2020. Selloff in the greenback is so far limited for the moment. Fed does deliver dovishness to the market. Yet, it’s possible not dovish enough to those who’re expecting two rate cuts this year, with one in July. Fed is no longer patient, but the overall announce argues that it’s in no rush neither.
At this point, DOW is only up around 50 pts, or 0.20%.
USD/JPY is still held above 107.81 low.
Though, EUR/USD’s breach of 1.1247 suggests it’s heading back to 1.1347 resistance.
USD/CAD also finally makes up its mind and break through 1.3328 support, heading back to 1.3239. CAD is also rising on stronger than expected inflation data released earlier today.