U.S. Dollar Steady Before Fed Meeting

The U.S. dollar loitered in familiar territory early on Tuesday with investors reluctant to do much as they waited for fresh guidance on interest rates from the Federal Reserve, while the Australian dollar rebounded from a six-month trough.

The dollar index was little changed at 84.252, largely consolidating in a slim 84.035-84.519 range since its rally to a 14-month peak on Sept. 9 ran out of steam.

The euro traded at $1.2938, also hemmed in a $1.2859-$1.2980 range after a selloff sparked by the European Central Bank’s interest rate cut early this month faded.  But keeping pressure on the ECB, the OECD on Monday urged much more aggressive stimulus to ward off the risk of deflation in a subdued euro zone.

CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.