Hot spot tracking
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The Federal Reserve announced a 25 basis point interest rate cut at its September meeting, with only Milan voting against it and supporting a 50 basis point cut. This news is negative for the US dollar.
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The median dot plot suggests three cumulative rate cuts (75 basis points) this year and one cut next year. This news is bearish for the US dollar.
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The Bank of Canada cut its benchmark interest rate by 25 basis points to 2.50%, in line with market expectations, and removed forward guidance on interest rate cuts from its policy statement. This news is negative for the Canadian dollar.
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