In the last 24h, the intensity of the US Dollar sell-off gathered further steam. This dynamic clearly indicates that the market is not placing too high its hopes. The behavior in the US Dollar leading up to today’s event communicates the market is betting for an uber-dovish rate hike. In other words, the FOMC may still raise its interest rate one more time, although it will probably set the bar much higher to keep the tightening campaign going. If they opt for the dovish hike, it won’t necessarily look like a Central Bank compromised by the recent tweets of Trump, but rather, acting in a way that helps to ease the ... (full story)