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 the same magnitude of previous QE phases for reserve administration
- Elementary outlook for the US Dollar could bitter if the Federal Reserve underscores an accommodative bias with intent on maintaining rates of interest on maintain this 12 months
- Fed Chair Powell may strike an upbeat tone on the US financial system owing largely to a wholesome client, however 4Q-2019 GDP knowledge due Thursday may weigh extra closely on the Buck
The US Greenback retains urgent increased into the brand new 12 months with the DXY Index climbing about 1.8% and above the 98.00 deal with since printing its December 31 intraday low.
Whereas the continued USD rally could have been technically charged initially, total strong financial knowledge reported over the past month and an increase in currency volatility as a result of latest coronavirus panic have supplied elementary catalysts to drive the US Greenback to eight-week highs.
USD value motion faces appreciable occasion threat on the horizon, nonetheless, with the newest FOMC rate of interest choice 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.