The greenback is holding its own as focus turns to the Fed
The dollar is holding steady as markets turn their attention towards the FOMC meeting decision later today. Expectation is for the Fed to reiterate its 'patient' message and possibly lower its dot plots projections slightly. Markets will also be keenly eyeing for any communication of the central bank's balance sheet runoff as that will provide more immediate clues for how risk assets should react.
Among themselves, major currencies are little changed with the aussie and kiwi a little lower with the former weighed down by dovish RBA commentary on home prices as well as a tumble in iron ore futures.
The pound is relatively steady as we await more Brexit developments to follow. It appears now May is set to request a "short" Brexit extension later today, so let's see how things pan out ahead of the EU Summit tomorrow.
Looking ahead, risk sentiment stays rather muted as Chinese stocks posted a recovery late in the session to be near flat levels now. With markets eyeing the FOMC meeting decision as well, we could be in for a bit of a lull until then.
