Forexlive Americas FX news wrap: Dollar sinks after the FOMC, bond yields drop

<p>FOMC decision:</p><ul><li><a href="https://www.forexlive.com/centralbank/federal-reserve-interest-rate-decision-no-change-20231101/">Federal Reserve interest rate decision: No change</a></li><li><a href="https://www.forexlive.com/centralbank/fomc-statement-for-the-november-2023-rate-decision-20231101/">FOMC Statement for the November 2023 rate decision</a></li><li><a href="https://www.forexlive.com/centralbank/powell-opening-statement-the-committee-is-proceeding-carefully-20231101/">Powell opening statement: The Committee is proceeding carefully</a></li><li><a href="https://www.forexlive.com/centralbank/powell-qa-we-are-attentive-to-the-increase-in-longer-term-yields-20231101/">Powell Q&amp;A: We are attentive to the increase in longer-term yields</a></li></ul><p>Other headlines</p><ul><li><a href="https://www.forexlive.com/news/us-september-ism-manufacturing-pmi-467-vs-490-expected-20231101/">US September ISM manufacturing PMI 46.7 vs 49.0 expected</a></li><li><a href="https://www.forexlive.com/news/adp-us-october-employment-113k-vs-150k-expected-20231101/">ADP US October employment +113K vs +150K expected</a></li><li><a href="https://www.forexlive.com/news/jolts-job-openings-for-september-9553m-versus-9250m-expected-20231101/">JOLTS job openings for September 9.553M versus 9.250M expected</a></li><li><a href="https://www.forexlive.com/news/us-september-construction-spending-04-vs-04-expected-20231101/">US September construction spending +0.4% vs +0.4% expected</a></li><li><a href="https://www.forexlive.com/news/atlanta-fed-q4-gdpnow-12-vs-23-previously-20231101/">Atlanta Fed Q4 GDPNow +1.2% vs +2.3% previously</a></li><li><a href="https://www.forexlive.com/news/us-sp-global-manufacturing-pmi-final-for-october-500-vs-500-prelim-20231101/">US S&amp;P Global manufacturing PMI final for October 50.0 vs 50.0 prelim</a></li><li><a href="https://www.forexlive.com/news/canada-sp-global-october-manufacturing-pmi-486-vs-475-prior-20231101/">Canada S&amp;P Global October manufacturing PMI 48.6 vs 47.5 prior</a></li><li><a href="https://www.forexlive.com/news/eia-weekly-crude-oil-inventories-774k-vs-1261k-expected-20231101/">EIA weekly crude oil inventories +774K vs +1261K expected</a></li><li><a href="https://www.forexlive.com/centralbank/snbs-jordan-says-rate-hikes-not-ruled-out-20231101/">SNB's Jordan says rate hikes not ruled out</a></li><li>Gundlach: I believe we've started a bond rally here</li></ul><p>Markets:</p><ul><li>Gold down $4 to $1978</li><li>US 10-year yields down 11 bps to 4.76% </li><li>WTI crude oil down 10-cents to $80.92</li><li>Nasdaq up 1.65%</li><li>AUD leads, EUR lags</li></ul><p>The market had plenty to contemplate today with a busy slate of economic data, quarterly refunding and the Fed decision. On net, the data was softer, the Treasury didn't borrow as much as feared and Powell didn't push to boost the odds of a December rate hike. The results were choppy but ultimately, the US dollar softened, Treasury yields fell and equities rallied.</p><p>AUD/USD was a big winner as it senses a shift away from global tightening along with fresh easing and spending in China. It rose 60 pips on the day and is set for the best close since October 10.</p><p>The euro and pound were ultimately choppy as yields in Europe also fell. Both had fallen earlier in the day but were rescued by broad USD selling. The yen also reversed some of yesterday's huge move as USD/JPY fell below 151.00.</p><p>The bigger moves were in equities and bonds as some relief is in sight. The next big event will be Friday's jobs report along with the ISM services report. Softer numbers could further depress yields and some FOMO could emerge with 5% yields slipping away.</p>

This article was written by Adam Button at www.forexlive.com.