Markets have treaded water ahead of the Federal Reserve's final rate decision for the year. The weaker labour market and the cooling inflation led to a 25pt rate cut, which is fully expected by markets. The US Dollar remained steady, with the EUR trading 1.1670, while the GBP moved back up to 1.3350.
Commodity currencies tread water and consolidate recent gains, with the AUD heading up towards 0.6650, while the NZD looks to regain 0.5800. Chinese inflation readings finally showed some signs of life, with the CPI rising to 0.7%, but this is not a problem. Markets await the important Fed rate decision.
