The US Dollar rose on Monday while US stocks closed slightly lower ahead of the upcoming FED rate decision due on Wednesday.
The Dow lost 0.14%, the Nasdaq fell 0.11% and the S&P500 was down 0.04%.
JP Morgan Chase shares were up 2.1% after taking over failed First Republic Bank. Moreover, gold retreated from the $2000 psychological barrier on a stronger dollar, ending the day at $1982 per ounce.
On the other side, the Federal Reserve is expected to raise interest rates by another 25bps from 5.00% to 5.25%. A hike is widely expected; however, all eyes will be on Jerome Powell’s press conference as investors will look at key statements for future monetary policy guidance.
Looking now at the key economic releases for the day. In the UK, the final manufacturing PMI is likely to remain unchanged at 46.6, while in the US, factory orders are expected to have risen from -0.7% up to 1.3%.
Below, we will be analyzing the latest price action developments in the major currency pairs alongside gold.