Institutional analysis: the minutes of the Federal Reserve meeting did not give the reason for the further rise of the US dollar

On February 23, Lee Hardman, a foreign exchange analyst at Mitsubishi UFJ, said in a report that the minutes of the meeting of the Federal Reserve on Wednesday showed that most officials preferred to raise interest rates by a small margin of 25 basis points, but did not provide further measures to boost the dollar, but the dollar is still expected to continue to perform well. With the support of the recent rise in the short-term yield of the United States, the dollar should continue to trade on a more solid basis in the short term, but the Federal Reserve did not provide a new catalyst to trigger further upside overnight. He said that the US dollar weakened moderately in Asian trading hours, especially in relation to commodity related currencies with higher risk.

Interpretation of this information:

The recent meeting of the Federal Reserve indicated that they prefer to raise interest rates slightly, but there are no further measures to boost the dollar. However, the dollar is still expected to perform well, especially with the support of the recent rise in short-term yields. The lack of a new catalyst may prevent further upside, but the dollar should still trade on a more solid basis in the short term. In Asian trading hours, the US dollar weakened moderately, particularly against higher-risk commodity-related currencies.