US dollar softens in the count down to the FOMC decision

The pound is now back to flat on the session after falling by as much as 30 pips on today’s soft CPI report. It’s a similar story across the board as the US dollar gives back its overnight gains.

It’s tough to take any signals ahead of the FOMC decision but Treasury yields are 1-2 bps lower across the curve today as 10s attempt to reject the 4.35% resistance level.

That said, these dollar moves could reverse in a hurry if the Fed is decidedly hawkish.

This article was written by Adam Button at www.forexlive.com.