After a brief bout of volatility, USD....>

FED/DOLLAR: After a brief bout of volatility, USD settles moderately lower

against most other G10 FX (most noticeably against the AUD, which convincingly

broke above a major down trendline) as markets interpret the Fed's removal of

'accommodative' from the statement as a dovish development: suggesting the Fed

are at/very near the neutral rate. Median dot plots for 2018, 2019 and 2020 are

unchanged.

-2s30s Treasury curve initially slightly steeper (although price action is

relatively contained), although reversal to pre-release levels in 10y futures

suggests little material has changed.

-Risk assets recover modestly, with S&P500 touching session highs and circa 10

points shy of record highs.

Attention turns to Fed's Powell's statement and Q&A session in 10 minutes time.