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The aussie is keeping higher to start the day after a more upbeat jobs report and as risk sentiment continues to hold up for the time being ahead of European trading.
The dollar is keeping steadier in general after a bit of a decline yesterday post-Fed, with losses staying more limited as the market contemplates the potential for yields to keep higher - at least on the long-end of the curve.
10-year Treasury yields are up 1.8 bps to 1.66% so far and that is keeping the risk-on push somewhat at bay for the time being with US futures little changed near flat levels.
EUR/USD is keeping around 1.1960-70 levels, with upside also seeing some limitations around 1.1990-00 with large expiries also seen at 1.2000 through the end of the week.
USD/JPY has been weighed lower after a report on the BOJ earlier, pushed down from 109.05 to 108.80-90 levels though still keeping above its 200-hour moving average.
AUD/USD is keeping at two-week highs but faces some resistance around 0.7837-38 at the moment as buyers try to explore further upside momentum in the pair.
Elsewhere, gold managed to break short-term resistance at around $1,740 but it remains to be seen if the Fed has done enough to convince a turnaround in investor sentiment.
The dot plots yesterday showed no median rate hike for 2023 and that is supportive of gold, which also benefited from a weaker dollar in the knee-jerk reaction, but market pricing on when the Fed may hike rates didn't really change all too much.
Adding to that is the Fed demanding more inflation compensation by the market, and that could see yields continue to track higher on the long-end and could act as a headwind for gold - especially if the data does support what the market thinks.
In essence, the Fed has bought more time for itself but every inflation and labour market data point is going to be of extra importance moving forward.
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