Dollar ditched ahead of the Fed -Markets......>

FOREX: Dollar ditched ahead of the Fed

-Markets shied away from the greenback Friday as the WSJ wrote that the Fed are

"close to deciding they will maintain a larger portfolio of Treasury securities

than they'd expected", a topic that will likely come under the spotlight at next

Wednesday's Fed rate decision. Markets remained happy to sell the greenback

throughout the US session, prompting the USD index to close well below the

100-dma of 96.113. A small portion of the losses were retraced as reports

suggested a temporary shutdown deal had been reached.

-GBP did well from the off, with reports that the Northern Irish DUP could help

prop up the government in next week's bill amendments and help smooth the

transition to a soft Brexit alongside Theresa May's original deal. GBP/USD

topped $1.31 for the first time since early November.

-JPY underperformed from the off as equities recovered throughout the

Asia-Pacific, European and US sessions, keeping USD/JPY within its recent range.

-Attention turns to the Fed rate decision, Australian, German & French CPI, US

GDP and various central bank speakers throughout the week.