FXStreet reports that as analysts at Danske Bank argued in their latest Fed monitor, based on almost all metrics, one should expect the Fed to soon intervene. This was exactly what happened last Friday in the Fed chair Powell's extraordinary press statement, which opened the door for Fed action.

"Based on Fed chair Powell's statement and the current situation, we change our Fed call and now expect the Fed to cut its target range by 25bp in March and again in April."

"A third cut in June may be necessary depending on how the coronavirus develops. We also think one should not disregard the possibility that the Fed will cut by 50bp in March if the current risk sell-off continues."

"Despite Fed chair Powell's statement, the Fed still seems behind the curve compared with current market pricing, as investors are pricing in more than a full 25bp cut in March."