The U.S Dollar Slides After The Fed Cut Rate
The U.S Dollar Slide After The Fed Slash Rate, meanwhile the Japanese Yen rose its value backing the conclusion of the Bank of Japan’s meeting.
The USD/JPY set declined 0.6% to 107.79 by 11:52 PM ET (03:52 GMT). The BOJ kept its short-term rate target at -0.1%, but it is noted in the statement that “it is becoming necessary to pay closer attention to the possibility that the momentum towards achieving its price target will be lost.” Later in the day Haruhiko Kuroda Bank of Japan governor will deliver a press conference.
It also states that “Taking this situation into account, the BOJ will re-examine economic and price developments at its next policy meeting, when it updates the outlook for economic activity and prices.”
Following the Federal Reserve reduced interest rates to the 1.75-2% the U.S Dollar slide 0.1% to 98.058. This was the second rate cut in this year which was widely expected by analysts.
After the mixed jobs reports released today the AUD/USD pair was down 0.5% to 0.6790.
The NZD/USD set declined 0.1% to 0.6312 after data showed the country’s economy grew at the slowest pace in more than five years in the second quarter.
Statistics of New Zealand reported today that the GDP increased 2.1% from a year earlier which was considered the feeble annual growth since 2013.
The USD/CNY pair rose 0.3% to 7.1029.