Daily market news

The USD/CAD pair posts modest gains around 1.3605 during the early Asian session on Thursday.

The USD/CHF recovered after whipsawing after the Federal Reserve lowered borrowing costs by 50 basis points (bps), though it reaffirmed its data-dependent stance, according to Chairman Jerome Powell.

The Greenback regained composure and bounced off multi-month lows as traders continued to assess the Fed’s 50-bps interest rate cut in quite a volatile session on Wednesday.

The Pound Sterling posted modest gains during the North American session, hitting a three-week high of 1.3254, but failed to gain traction as traders braced for the Federal Reserve’s monetary policy decision.

The NZD/USD pair delivers a sharp upside move to near 0.6230 in Wednesday’s North American session.

The USD/CAD pair remains below the crucial resistance of 1.3600 in Wednesday’s North American session.

EUR/USD steadies above 1.1100 in Wednesday’s North American session ahead of the Federal Reserve’s (Fed) monetary policy announcement at 18:00 GMT.

The Canadian Dollar (CAD) is trading just below the 1.36 mark as traders await the Fed, Scotiabank’s Chief FX Strategist Shaun Osborne notes.

USD/JPY was last seen at 141.63 levels. The pair rebounded, alongside higher UST yields after better-than-expected US data.

USD/CHF’s decline of late was largely due to the USD leg as markets re-priced for larger than expected magnitude of Fed cut, and, if the broad USD trend is for further depreciation bias, then USD/CHF may still be broadly skewed to the downside, OCBC FX analysts Frances Cheung and Christopher Wong note.