Fed leaves interest rates unchanged, US Dollar ditched to four-month low

by   |  VIEW 209
Fed leaves interest rates unchanged, US Dollar ditched to four-month low

On Wednesday, the 30th of January, 2019, the Federal Reserve had kept the interest rate unchanged and told that they would be patient while increasing the lending cost further this year, as there had been growing uncertainty in the US economic outlook, alongside the tariff war with China started to escalate malevolent outcries on Wall St.

and treasury bonds which also include pension funds and savings of millions of US citizens. During the FOMC minutes, the Fed said that the US economic and job growth were being the most likely outcome, although they had made amendments to their December policy statement, saying that they would be much patient while increasing the interest rate this year, as corporate debts in US had reached its three-year-high in 2018 amid intense geo-political tension.

However, the Trump administration’s tax trimming policy had helped the US reserve significantly, as it succeeded to lure several expatriate US companies to turn their money back on to the US soil. While in another release, the US central bank had announced that, as they would be continuing to reduce its monthly balance sheet, they were prepared to change the pace at any time in light of financial and economic development.

However, inevitably, the US dollar had faltered following the dovish Fed comments, lastly, in was seen trading below October 16th low at 94.75 (GMT. 22.00, Jan. the 30th)