The Fed Reserve meets during a session dominated by data from the US.

The euro and pound made gains overnight as the USD weakened throughout the latter part of the session. The EURUSD began the day at $1.21360 and slid to lows of $1.21074 mid-session. Rebounding off those lows, the euro rallied to a high of $1.21753 late in the day. It has come off those highs and is now trading at $1.21632. The GBPUSD opened the day at $1.36745 and fell to lows of $1.36085 mid-session. It was basically one way from there as the pound surged to a late high of $1.37438, which is where it is at currently.

The Dow opened and closed the day rather flat, while the Dax erased the losses it suffered at the start of the week. The Dow started the day at 30,953.02 and fell away to lows of 30,774.22 mid-session. It bounced off those lows, peaking at 31,123.47 late in the day. It came off those highs and is now trading at 30,958.30. The Dax posted solid gains overnight after opening at 13,705.38. After dipping to early lows of 13,583.61, the German index rocketed to a high of 13,927.70 late in the day. It has come off those highs slightly and is now trading at 13,877.50.

The day ahead sees the latest FOMC meeting take place, with interest rates tipped to remain on hold. This is the first time the US central bank meets under the new White House administration. While the Fed Reserve remains independent from government, it will be interesting to see if the language used by Jerome Powell changes in the wake of a new Presidency.

Data published today includes:

Europe – German GfK Consumer Climate, Credit Suisse Economic Expectations

US – Durable & Core Durable Goods Orders, Crude Oil Inventories, FOMC Statement & Press Conference

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