FXstreet.com (CÃ³rdoba) - Wall Street finished in the positive side. Main stocks indexes posted gains of more than 1.25%. The Dollar was mostly down during the American session but managed to recover form the losses. EUR/USD is currently pulling back and is falling below 1.4200. GBP/USD failed to hold above 1.6500.
Markets rallied after the opening bell at Wall Street and also after the Fed's decision. But then in the last hour stocks prices fell to pre- FOMC levels. Crude-oil rose regaining prices above $70 a barrel.
Kathy Lien, Director of Currency Research AT FX360: The optimistic comments from the Federal Reserve and the not so subtle hints that the central bank is thinking about an exit strategy drove the dollar higher across all board. The U.S. central bank recognized the improvements in the economy by saying that economic activity is leveling out and also put a time stamp on when they plan on ending Treasury purchases. With bond yields rising across the board, money is flowing into the U.S. dollar. The Fed has satisfied the market by recognizing the improvements in the U.S. economy and the financial markets.