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FX Files – Fed, BoC Both to Hold

FICC Strategy Reports

Currency markets are extremely quiet into the FOMC and the BoC meeting today. The DXY is slightly higher (current: 98.72, +0.09% OTD), with high betas AUD (0.7155, -0.38% OTD) and NZD (0.5855, -0.51% OTD) underperforming. Oil extends higher (WTI: 103.60, +3.56% OTD) as Trump told his aides to prepare for an extended blockade of the Strait of Hormuz, and the US Treasury warned that financial institutions with ties to Chinese refineries handling Iranian oil will risk facing sanctions.

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