The USD was stronger across the board following the release of the nearly unchanged statement. The usual suspects were the notable undeperformers – namely, AUD, NZD, BRL and ZAR. These include a mix of currencies that remain fundamentally overvalued and vulnerable to a rise in US rates. Moreover, USD/JPY hit a multi-year high near 108.40 while EUR/USD failed to hold the 1.29 level. The interesting part when looking at the price action is that the FOMC statement and broader message was largely unchanged from the July statement. Indeed, the Fed reiterated that “significant” slack in the labour market persists. It also ... (full story)