The EUR/USD declined sharply from weekly highs above 1.0730, falling to 1.0650 following the FOMC meeting, driven by a stronger US Dollar. The market
The US Dollar soars after the FOMC meeting, while stocks tumble and Treasury yields jump.declined sharply from weekly highs above 1.0730, falling to 1.0650 following the FOMC meeting, driven by a stronger US Dollar. The market continues to digest the outcome and Powell’s comments.
The Summary of Economic Projections indicates that most members believe another rate hike before year-end is likely. Fed Chair Powell mentioned that the dot plot"is not a plan." For next year, the forecast shows reduced expectations of rate cuts.
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