{"id":165850,"date":"2020-03-03T11:59:18","date_gmt":"2020-03-03T16:59:18","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=165850"},"modified":"2020-03-03T11:53:46","modified_gmt":"2020-03-03T16:53:46","slug":"dollar-falls-after-emergency-fed-rate-cut","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2020\/03\/dollar-falls-after-emergency-fed-rate-cut\/","title":{"rendered":"Dollar falls after emergency Fed rate cut"},"content":{"rendered":"<div id=\"inves-2091465699\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">March 3, 2020<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By Lukman Otunuga, Research Analyst, <a href=\"http:\/\/countingpips.com\/contributors\/contributor-profile-forextime\/\">ForexTime<\/a><\/strong><\/p>\n<div class=\"article-body\">\n<div class=\"field-body\">\n<div class=\"field-items\">\n<div class=\"field-item even\">\n<p>The Dollar tumbled across the board on Wednesday after the Federal Reserve shocked financial markets with an emergency 50 basis point\u00a0rate cut.<\/p>\n<p>It&#8217;s the first unscheduled, emergency rate cut since October 2008, and it also marks the biggest one-time cut since then.<\/p>\n<p>According to the Fed, &#8220;the fundamentals of the U.S economy remain strong. However the virus poses evolving risks to economic activity\u201d. This move is likely to open doors to further cuts in the future as the Fed attempts to shield the US economy from the negative impacts of the coronavirus outbreak.<\/p>\n<p>In regards to the technical picture, the Dollar Index tumbled following the emergency cut with prices trading around 97.13 as of writing. A breakdown below 97.00 should encourage a decline towards 96.75.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.forextime.com\/images\/maa\/_dxydaily_143.png\" alt=\"\" \/><\/p>\n<p><strong>USDJPY sinks below 107.49<\/strong><\/p>\n<p>The emergency US rate cut sent the USDJPY tumbling below 107.49 on Wednesday afternoon. A weaker Dollar could drag prices towards 106.60.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.forextime.com\/images\/maa\/usdjpydaily_161.png\" alt=\"\" \/><\/p>\n<p><strong>Gold punches above $1620\u00a0<\/strong><\/p>\n<p>Gold prices are pushing higher this afternoon following the rate cut. The prospects of lower interest rates in the United States and across the globe\u00a0should push the precious metal higher with a softer Dollar complementing upside gains.<\/p>\n<p>A daily close above $1620 could open the doors towards $1660.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.forextime.com\/images\/maa\/xauusddaily_652.png\" alt=\"\" \/><\/p>\n<\/div>\n<\/div>\n<\/div>\n<p><em><strong>Disclaimer: <\/strong>The content in this article comprises personal opinions and should not be construed as containing personal and\/or other investment advice and\/or an offer of and\/or solicitation for any transactions in financial instruments and\/or a guarantee and\/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.<\/em><\/p>\n<\/div>\n<hr \/>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-54242 alignleft\" src=\"https:\/\/www.countingpips.com\/articles-analysis\/wp-content\/uploads\/2014\/07\/Forex-Time-Logo.png\" alt=\"Forex-Time-Logo\" width=\"262\" height=\"90\" \/><strong>Article by <span style=\"text-decoration: underline;\"><a href=\"https:\/\/www.countingpips.com\/contributors\/contributor-profile-forextime\/\">ForexTime<\/a><\/span><\/strong><\/p>\n<p><strong>ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 <a href=\"http:\/\/www.forextime.com\" target=\"_blank\" rel=\"noopener noreferrer\">www.forextime.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Lukman Otunuga, Research Analyst, ForexTime The Dollar tumbled across the board on Wednesday after the Federal Reserve shocked financial markets with an emergency 50 basis point\u00a0rate cut. It&#8217;s the first unscheduled, emergency rate cut since October 2008, and it also marks the biggest one-time cut since then. According to the Fed, &#8220;the fundamentals of [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-165850","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/165850","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=165850"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/165850\/revisions"}],"predecessor-version":[{"id":165855,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/165850\/revisions\/165855"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=165850"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=165850"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=165850"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}