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Fed Raises Rate By 75 BPs, Dovish Reaction Seen In Treasuries/USD

EMERGING MARKETS
  • MNI: FED RAISES RATES BY 75BPS TO 3.75% TO 4%
  • FED ANTICIPATES ONGOING RATE INCREASES APPROPRIATE
  • FED-FUTURE HIKES TO ACCOUNT FOR CUMULATIVE TIGHTENING
  • FED-FUTURE PACE TO ACCOUNT FOR POLICY LAGS
  • FED AIMS FOR 'SUFFICIENTLY RESTRICTIVE' POLICY
  • The greenback has initially sold off following the release of the statement with EURUSD around 60 pips higher and USDMXN extending its recent break lower below 19.75 to trade as low as 19.5338 as of writing.

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