USD Tracks Recent Ranges

USD indices have traded tight ranges as the market awaits the outcome of the Fed decision later. The BBDXY was last close to 1223.50, little changed versus NY closing levels. Cross asset signals remain modest, with US cash Tsys yields mixed across the curve, the 2yr slightly higher, but weakness at the back end. US equity futures remain in the red, although are away from worst levels.

• USD/JPY is drifting higher this afternoon (last at 130.20/25), but this could be cross related, with AUD/JPY moving back above 92.00. USD/JPY has been running out steam above 130.50 in the past week, so this level could be eyed on the topside. Dips sub 130.00 remain supported for now.
• AUD/USD is back close to 0.7070, around +0.20% firmer for the session. Besides against the yen, AUD/NZD is also pushing higher post the NZ jobs report. The cross was last near 1.0980, with bulls eyeing a move through 1.1000. Commodity prices are mixed with copper off to 420.75%, -0.45%, while iron ore is around flat, last at $127.25/ton.
• NZD/USD sits at 0.6435, around 0.40% lower from pre-data levels this morning. Slowing jobs growth and the unemployment rate edging higher as seen local banks trim their expectations for the RBNZ meeting. Dips in the pair were supported below 0.06420.
• Besides the Fed later on we also have PMIs/ISMs for the EU and US.