US DOLLAR FORECAST: USD PRICE ACTION TURNS TO THE FED MEETING & GDP DATA ON TAP AS CORONAVIRUS-INDUCED VOLATILITY EBBSUSD cos
US DOLLAR FORECAST: USD PRICE ACTION TURNS TO THE FED MEETING & GDP DATA ON TAP AS CORONAVIRUS-INDUCED VOLATILITY EBBS
- USD costs may very well be pressured decrease if the FOMC reiterates its plans to proceed natural stability sheet growth to an analogous magnitude of previous QE phases for reserve administration
- Basic outlook for the US Dollar might bitter if the Federal Reserve underscores an accommodative bias with intent on preserving rates of interest on maintain this yr
- Fed Chair Powell might strike an upbeat tone on the US financial system owing largely to a wholesome shopper, however 4Q-2019 GDP information due Thursday might weigh extra closely on the Buck
The US Greenback retains urgent larger into the brand new yr with the DXY Index climbing about 1.8% and above the 98.00 deal with since printing its December 31 intraday low.
Whereas the continuing USD rally might have been technically charged initially, general stable financial information reported over the past month and an increase in currency volatility as a result of current coronavirus panic have supplied basic catalysts to drive the US Greenback to eight-week highs.
USD value motion faces appreciable occasion danger on the horizon, nevertheless, with the newest FOMC rate of interest resolution and US GDP report slated to cross the wires on Wednesday, January 29 at 19:00 GMT and Thursday, January 30 at 13:30 GMT respectively.