The Dollar Index (DXY)
Key news events today
USD FOMC Economic Projections
USD FOMC Statement
USD Federal Fund Rate
USD FOMC Press Conference
What can we expect from DXY today?
Overnight, the DXY strengthened strongly towards the 110 price level, which is also the top of the current range. The price is likely to consolidate along the resistance level before potentially breaking out towards the next key resistance level of 112 as markets anticipate a rate hike of 75bps. However, pay attention to the accompanying statement and press conference, to identify hints over the path of future rate increases, the terminal rate, and the Federal Reserve’s view of the US economic performance.
Central Bank Notes:
Federal Reserve hiked rates by 75bps taking interest rates to 2.50%
Next meeting on 22 September 2022
Balance Sheet reduction plan to continue at $60b (treasuries) and $35b (MBS) over a three-month timeframe
Next 24 Hours Bias
Strong Bullish
