Will the U.S. dollar strengthen ahead of the FOMC meeting, or will the market wait and see?

Will the U.S. dollar strengthen ahead of the FOMC meeting, or will the market wait and see?

19.03.2024

In the previous day’s U.S. currency trading, the U.S. dollar traded sideways against the yen after the U.S. NAHB Housing Market Index for March, released yesterday, rebounded to 51 from 48 the previous month.USD/JPY remained range-bound between 148.905 and 149.330, with the centerline of the Bollinger Bands continuing to move neither up nor down. Notably, the pair has entered the 150 yen range during today’s Asian session, so we should watch to see if the dollar strengthens ahead of tomorrow’s FOMC meeting.

European currencies saw the euro fluctuate against the yen after the Eurozone’s February consumer price index, released yesterday, showed that the year-on-year core rate remained unchanged from the previous month at 3.1%. The euro/yen pair traded between 161.952 and 162.674. The hourly RSI remained around 50. As the euro has strengthened during today’s Asian session, rising to the 163 yen level, we will be watching to see if this price level holds during European trading hours.

Today, the RBA will announce its policy rate and statement at 12:30 p.m., followed by Japan’s industrial production and remarks by RBA Governor Block at 1:30 p.m., a press conference by Bank of Japan Governor Ueda at 3:30 p.m., and Switzerland’s trade balance at 4:00 p.m.at 7:00 PM, the German and Eurozone ZEW Economic Sentiment Surveys; at 9:30 PM, the Canadian Consumer Price Index and U.S. Housing Starts; at 2:00 AM, the U.S. 20-year Treasury auction; at 5:00 AM, U.S. Foreign Investment in U.S. Securities; and at 6:45 AM the following day, New Zealand’s Q4 Current Account Balance.We will be watching closely to see if the US dollar strengthens ahead of the FOMC meeting.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed