EUR/USD falls 0.5% to a session low of 1.1550
The greenback has pretty much erased its post-FOMC drop across the board and is now pushing higher against the likes of the euro and pound notably, with EUR/USD falling to 1.1550 as sellers keep a more bearish near-term bias for now.
The Fed delivered on expectations and while Powell reaffirmed patience on rate hikes, it is a narrative that one would expect by the Fed so as to not overcommit or be too aggressive in looking towards tightening policy to counteract inflation pressures.
Looking at EUR/USD price action, the pair is now down to keep around large option expiries today in the 1.1525-50 region. That alongside the October lows at 1.1525-29 may very well limit any further downside for now before the expiries roll off.
But the daily close is one to watch as a firm break below the October lows opens up the path to further downside momentum in the pair moving forward.
Elsewhere, GBP/USD is down 0.4% to 1.3634 while AUD/USD is down a little over 0.2% to 0.7428 with the latter eyeing a push towards 0.7400 next.
