The US dollar is softer against other major currencies after the Federal Reserve left interest rates unchanged on Wednesday and said the case for a rate hike has strengthened.
The US dollar index is down by 0.44% to 95.24 at 7:10 a.m. ET. It fell to a one-week low after the Fed’s statement was released.
“The Federal Reserve’s decision to stand pat was the most complicated in years,” wrote Marc Chandler, global head of currency strategy at Brown Brothers Harriman, in a note on Thursday.
“The case for a hike had strengthened, Yellen said, but still the consensus to hike was not there. Three regional Fed presidents dissented, the most in a couple of years.”
It’s been a busy 24 hours of central-bank news. Here’s the scoreboard elsewhere at 7:10 a.m. ET:
- The Japanese yen is up 0.44% to 100.74. It fell to a one-month low overnight following the Bank of Japan’s decision on Wednesday to not expand its asset-purchases program, and aim to control interest rates more over the money supply to boost inflation.
- The New Zealand dollar is up by 0.3% to 0.7317 per US dollar after the country’s reserve bank held its key rate at 2%, as expected. Governor Graeme Wheeler said the bank’s current projections show that “further policy easing will be required to ensure that future inflation settles near the middle of the target range.”
- The Norwegian krone is down by 1.62% to 8.1214 per dollar. Norges Bank kept its benchmark rate at 0.50%, in line with expectations, and suggested that the possibility of further rate cuts had diminished.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.