Forex Today: US Dollar steady ahead of the Fed decision, US employment data
The US Dollar Index (DXY) held its ground on Monday, trading above the 99.00 level during American hours as market participants await the Federal Reserve (Fed) interest rate decision and the release of a fresh Summary of Economic Projections (SEP).

Here’s what to watch on Tuesday, December 9:


The US Dollar Index (DXY) held its ground on Monday, trading above the 99.00 level during American hours as market participants await the Federal Reserve (Fed) interest rate decision and the release of a fresh Summary of Economic Projections (SEP).

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the Swiss Franc.

USD EUR GBP JPY CAD AUD NZD CHF
USD 0.07% 0.09% 0.30% 0.16% 0.26% 0.01% 0.32%
EUR -0.07% 0.02% 0.22% 0.10% 0.19% -0.06% 0.25%
GBP -0.09% -0.02% 0.21% 0.07% 0.17% -0.07% 0.23%
JPY -0.30% -0.22% -0.21% -0.14% -0.04% -0.27% 0.02%
CAD -0.16% -0.10% -0.07% 0.14% 0.10% -0.16% 0.16%
AUD -0.26% -0.19% -0.17% 0.04% -0.10% -0.25% 0.06%
NZD -0.01% 0.06% 0.07% 0.27% 0.16% 0.25% 0.30%
CHF -0.32% -0.25% -0.23% -0.02% -0.16% -0.06% -0.30%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

EUR/USD lost further impetus, falling to a three-day low of 1.1616 and is currently trading near 1.1630 amid a persistent risk-off mood. The United States (US) Fed is expected to cut rates by 25 bps at this week's meeting.

GBP/USD came under pressure, breaking below 1.3320, as investors went liquid ahead of the Fed's interest rate decision.

USD/JPY is building a rally, surpassing the 155.80 price zone, with little movement ahead of the Fed’s interest rate decision on Wednesday and the Bank of Japan Governor Kazuo Ueda's speech on Tuesday.

AUD/USD eased to the 0.6630 price region, after revisiting the multi-week high posted last Friday at 0.6649, ahead of the Reserve Bank of Australia (RBA) monetary policy announcement. The RBA is expected to keep the Official Cash Rate (OCR) unchanged at 3.6%.

Gold is sitting within familiar levels at around $4,200 for the fourth consecutive day, maintaining a wait-and-see stance ahead of the Fed's monetary policy decision.

The US will also be releasing employment figures throughout the week. The ADP Employment Change four-week average and Jolts Job Openings for September and October will be out on Tuesday.

Fed FAQs

Monetary policy in the US is shaped by the Federal Reserve (Fed). The Fed has two mandates: to achieve price stability and foster full employment. Its primary tool to achieve these goals is by adjusting interest rates. When prices are rising too quickly and inflation is above the Fed’s 2% target, it raises interest rates, increasing borrowing costs throughout the economy. This results in a stronger US Dollar (USD) as it makes the US a more attractive place for international investors to park their money. When inflation falls below 2% or the Unemployment Rate is too high, the Fed may lower interest rates to encourage borrowing, which weighs on the Greenback.

The Federal Reserve (Fed) holds eight policy meetings a year, where the Federal Open Market Committee (FOMC) assesses economic conditions and makes monetary policy decisions. The FOMC is attended by twelve Fed officials – the seven members of the Board of Governors, the president of the Federal Reserve Bank of New York, and four of the remaining eleven regional Reserve Bank presidents, who serve one-year terms on a rotating basis.

In extreme situations, the Federal Reserve may resort to a policy named Quantitative Easing (QE). QE is the process by which the Fed substantially increases the flow of credit in a stuck financial system. It is a non-standard policy measure used during crises or when inflation is extremely low. It was the Fed’s weapon of choice during the Great Financial Crisis in 2008. It involves the Fed printing more Dollars and using them to buy high grade bonds from financial institutions. QE usually weakens the US Dollar.

Quantitative tightening (QT) is the reverse process of QE, whereby the Federal Reserve stops buying bonds from financial institutions and does not reinvest the principal from the bonds it holds maturing, to purchase new bonds. It is usually positive for the value of the US Dollar.

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실시간 시세

이름 / 기호
차트
% 변동 / 가격
GBPUSD
1일 변동
+0%
0
EURUSD
1일 변동
+0%
0
USDJPY
1일 변동
+0%
0

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