Risk Sentiment Eases & Dollar Slips after Cautious FED | BDSwiss Market Moves on MT4

-FOMC – Powell Sets Dovish Tone Federal Reserve Chair, Powell reiterated the strength of the US economy, the tight jobs market and the strong consumer. However, he emphasised that the FOMC is still focused on its dual targets and that inflation has stalled in decline. The hot last three inflation reports lowered the likelihood of rate cuts in the summer and pushed most market watchers to only one or two cuts for the year. Powell reiterated the view that interest rates are likely headed lower this year. -BoJ Intervention Again The Japanese Yen remains very much in play with USDJPY back to – again no official news of BOJ activity will be available for a few weeks but either that or significant speculators were responsible for attempts to support the Yen. Post FOMC the USDJPY declined to , a level not seen since April 15. It remains vulnerable and on the back foot. -Mixed US Data The US economic data yesterday, also emphasised the mixed picture. ADP private payrolls were better than expected at 192k and last month’s number was revised from 184k to 208k. Whilst ISM manufacturing data slipped back into contraction and the prices paid by manufacturers were significantly higher. Also, the JOLTS report missed expectations but remains strong as last month’s vacancies number were also revised higher to from . -Market Talk The Dollar, Stocks and Treasury yields were volatile around the FOMC statement and Chair Powell’s soothing press conference. The result was a weaker USD and stock markets giving up all the day’s gains in the final hour The shifting expectations on U.S. rates have lifted Treasury yields. Against a basket of currencies, the USD Index had a very weak day, declining to start May, following a 1% gain in April and over 4% for the year. Check the UPCOMING WEBINARS here: • Download the BDSwiss iOS app: • Download the BDSwiss Android app: • Join our Telegram Channel: • Like us on Facebook: • Follow us on Twitter: • Follow us on LinkedIn: • Follow us on Instagram: • Subscribe to our Channel: Your capital is at risk. T&Cs apply.