XE Market Analysis: Asia – Nov 04, 2015

The combination of better U.S. employment and services ISM data, coupled with heightened prospects for a December Fed rate hike, combined to send the dollar broadly higher on Wednesday. Though the Fed Chair didn’t say anything new in her Q&A, the fact that she didn’t back down from the hawkish spin in the October policy statement, and that she reiterated the transitory nature of the soft trend in inflation added to market beliefs that the FOMC will pull the trigger this time. EUR-USD traded from 1.0937 highs, to a better than two-month lows of 1.0845 in morning trade.