Forex Marketz Daily Forex News – Fully Markets Update
This morning during Asian trade hours, the U.S. Dollar firmed against its major G 20 trading partners. Forex traders are expecting that the Federal Reserve will indicate faster monetary tightening this year. They also expect the Federal Reserve’s first rate increase of 2018. This is unanimously expected, by most traders, later in the day during North American trade hours. Also Japanese markets are currently closed for a public holiday.
The U.S. dollar index is trading at 90.39. The dollar had risen to 90.446 on Tuesday. This was its highest price point in almost three weeks.
Still, the index has been in a holding in a consolidative pattern as the buck trades between 90.934 and 89.399 for the month.
Dollar Traders wait on Today’s FOMC Rate Decision
The key focus for traders today, is the monetary policy decision from the Federal Open Market Committee (FOMC). Traders will also be listening to whether or not policy makers will forecast four hikes this year, instead of the three hikes given in December’s quarterly forecast.
Followed by the announcement at 2 p.m. EST, the new Federal Reserve Board Chair Jerome Powell will hold his first news conference at 2:30 p.m. EST.
As the U.S. currency rose, the EUR/USD Forex market was trading at $1.2247. The common currency had fallen 0.78 percent on Tuesday. This was a new almost three week low at $1.2240.
The Swiss franc, a safe haven currency, also hit a two month low. It was trading at 0.9570 franc to the dollar.
Against the yen, in the benchmark USD/JPY Forex market, the dollar was at 106.53. This was after Tuesday’s gain of 0.41 percent. Trading was low volume, this morning, due to a public holiday in Japan.
