EUR/USD prints fresh lows near 1.1765 after FOMC statement

• Fed leaves rates unchanged, eyes turn to Powell’s press conference.
• EUR/USD falls to 1.1770 as the US dollar rises across the board.

The EUR/USD dropped from 1.1810 to 1.1771 following the release of the FOMC statement. The US dollar rose across the board after the meeting. Now attention turns to the press conference.

Fed fuels the US dollar before Powell

The Federal Reserve left interest rates and the QE program unchanged. It announced the establishment of a domestic standing repo facility (SRF) and a repo facility for foreign and international monetary authorities (FIMA repo facility).

So far, market participants see the meeting as tilted to the hawkish side. US yield rose modestly and equity prices remained steady. The US gained momentum and rose across the board at a modest pace.

The EUR/USD dropped to as low as 1.1770. Below that level attention would turn to the recent lows around 1.1750. On the upside, a rebound could face immediate resistance at 1.1815 and then comes the weekly top at 1.1840.

Technical levels