This article is originally referred from Traders Trust Daily Morning Report.
The Australian and New Zealand dollars rose against their U.S. counterpart on Thursday, after the Federal Reserve’s decision to leave its monetary policy unchanged dampened demand for the greenback.
AUD/USD gained 0.43% to 0.7524.
In a widely expected move, the Fed left interest rates unchanged at the conclusion of its two-day policy meeting on Wednesday.
In its monthly policy statement, the Fed said that “near-term risks to the economic outlook have diminished” and that the labor market has “strengthened”.
The upbeat outlook fuelled speculation over a near-term rate hike by the U.S. central bank, possibly as soon as September.
NZD/USD advanced 0.47% to trade at 0.7109, the highest since July 19.
The commodity currencies were also supported by a rebound in oil prices on Thursday, although global glut concerns continued to weigh.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.27% to 96.49, the lowest since July 15.
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Original Source: Traders Trust Daily Morning Report