Article by ForexTime
Risk appetite was off on Monday after the U.S. Federal Reserve’s decision to keep interest rates at record lows at its latest meeting, which raised fresh concerns about growth globally, particularly in China.
“The monetary-policy-watcher has now turned decidedly bearish after the Fed meeting. If emerging market risk, coupled with low-growth European environment is affecting Fed decision making, sentiment uncertainty will get worse.
The U.S. dollar, which retreated after the Fed decision, rose 0.3 percent to 95.135 against a basket of six currencies .DXY but slipped 0.2 percent to 119.79 yen on Monday.
The euro traded up to $1.1309 after bouncing from $1.1280. The euro was supported by news out of Greece, where Alexis Tsipras won Sunday’s general elections, removing political uncertainty in the country.
Oil prices were slightly higher as U.S. drilling slowed, after slumping on Friday on the selloff in U.S. stocks.
Free Reports:
U.S. crude futures were up 0.4 percent at $44.85. Brent futures also rose 0.3 percent to $47.63.
Asian shares tumbled on Monday trading. MSCI’s broadest index of Asia-Pacific shares outside Japan fell 2 percent. Australia AXJO was down 2.4 percent and South Korea was off 1.7 percent. Japan was closed for a long holiday.
Both the Shanghai Composite index and the CSI300 were little changed.
ForexTime Ltd (FXTM) is an award winning international online forex broker regulated by CySEC 185/12 www.forextime.com