The US dollar, like equities, fell after the release of the September 2015 meeting statement. However, its fall was sharper than equities. The PowerShares DB US Dollar Index Bullish Fund (UUP) fell 1.10% on September 17.
The US dollar was expected to appreciate after a rate hike. Some of that had already been priced in due to the anticipation of a rate hike in this meeting. However, since the Fed didn’t raise the federal funds rate, some of the gains were due to the anticipation being reduced.
In the rest of this series, we’ll look at the state of major US economic indicators and how the Fed looked at them in the September 2015 meeting. We’ll begin with their views on the US economy.
Read More: Markets React to the Fed’s September 2015 Meeting Statement