24 November 2022 | Other

Dollar falls as risk sentiment rises after Fed minutes

The U.S. dollar fell significantly on Thursday. This is because investors, convinced of the prospect of slower interest rate hikes by the Fed, began to bet on riskier assets.

Recently, the long-awaited results of the November 1-2 Fed meeting were announced. They indicate that officials were content to move to a less aggressive policy stance, Reuters reports.

Carol Kong, a currency strategist at Commonwealth Bank of Australia (CBA), noted that it is now almost certain that the FOMC will slow the pace of policy tightening from December. At the same time, the CBA expert warned that the markets are overly optimistic about the possibility of an imminent end to the tightening cycle. She also stressed that the U.S. dollar still has a strong support because of China's Zero-COVID policy.

U.S. markets will be closed on Thursday due to the Thanksgiving holiday, and liquidity is likely to be lower than usual.

Company MarketCheese
Period: 14.05.2025 Expectation: 1650 pips
Technical and fundamental background supports AUDCAD
07 May 2025 76
Elena_Dorokhina
Elena_Dorokhina

Listed among the best MarketCheese authors
1st in the segment "Currencies"
Period: 08.05.2025 Expectation: 550 pips
EURUSD to drop to 1.13000
07 May 2025 52
Period: 13.05.2025 Expectation: 240 pips
Brent crude price rebound to continue up to 65
07 May 2025 66
Period: 14.05.2025 Expectation: 1000 pips
Buying GBPUSD amid trade talks and weaker dollar with target at 1.344
07 May 2025 34
Period: 12.05.2025 Expectation: 1500 pips
USDJPY rebound fades ahead of Fed meeting
06 May 2025 68
Period: 30.05.2025 Expectation: 975 pips
Natural gas maintains upside potential within megaphone pattern
06 May 2025 75
Go to forecasts