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20 Mar 2014
Session Recap: USD broadly firmer in the Fed's aftermath
FXStreet (Córdoba) - The USD dollar has continued to strengthen Thursday as an extension of yesterday's post Fed trend amid expectations the bank might begin hiking rates in 2015.
The EUR/USD broke below the 1.3800 mark and fell to a 2-week low of 1.3755 during the European session. The GBP/USD tested the 1.6500 support level but it has managed to hold above so far.
The USD/JPY has steadied above 102.00, while the USD/CHF extended gains following SNB decision to stand pat. The AUD and the CAD also fell further versus the greenback, weighed by declining stocks.
"Markets will likely spend the remainder of the day continuing to digest (or deal with indigestion from) yesterday’s FOMC decision, and thinking about just how soon the Fed might realistically begin raising rates", says the TD Securities analyst team. "The Fed's blackout period extends until midnight tonight, but tomorrow we should get some clarification with speaking appearances from the Fed's Bullard, Fisher, Kocherlakota, and Stein".
During the NY session, there is a raft of data reports from the US including jobless claims, March Philly Fed, February existing home sales and leading indicators.
Main Headlines in Europe:
BoJ's Kuroda: Economy on track to meet inflation 2% target
Merkel: EU leaders will agree on further sanctions against Russia at summit beginning Thursday
SNB keeps minimum exchange rate steady in March
What’s the sentiment around the EUR/USD today? – Commerzbank and OCBC Bank
Asia EM Express: New BoK governor stresses need for clear communication with markets
Ukrainian ambassador to U.N. in Geneva: There are indications that Russia preparing military intervention in East and South Ukraine
EU's Van Rompuy: Euro is stable
The EUR/USD broke below the 1.3800 mark and fell to a 2-week low of 1.3755 during the European session. The GBP/USD tested the 1.6500 support level but it has managed to hold above so far.
The USD/JPY has steadied above 102.00, while the USD/CHF extended gains following SNB decision to stand pat. The AUD and the CAD also fell further versus the greenback, weighed by declining stocks.
"Markets will likely spend the remainder of the day continuing to digest (or deal with indigestion from) yesterday’s FOMC decision, and thinking about just how soon the Fed might realistically begin raising rates", says the TD Securities analyst team. "The Fed's blackout period extends until midnight tonight, but tomorrow we should get some clarification with speaking appearances from the Fed's Bullard, Fisher, Kocherlakota, and Stein".
During the NY session, there is a raft of data reports from the US including jobless claims, March Philly Fed, February existing home sales and leading indicators.
Main Headlines in Europe:
BoJ's Kuroda: Economy on track to meet inflation 2% target
Merkel: EU leaders will agree on further sanctions against Russia at summit beginning Thursday
SNB keeps minimum exchange rate steady in March
What’s the sentiment around the EUR/USD today? – Commerzbank and OCBC Bank
Asia EM Express: New BoK governor stresses need for clear communication with markets
Ukrainian ambassador to U.N. in Geneva: There are indications that Russia preparing military intervention in East and South Ukraine
EU's Van Rompuy: Euro is stable