There are some upside risks for the US Dollar, but ING’s base case is a USD stabilisation.

All eyes on the Fed’s decision

“While a softer tone than the one in the statement about future tightening is very much possible – and may offset initial US Dollar gains – some more convincing pushback against rate cut speculation could help put a floor under the greenback beyond the post-meeting impact.”

“DXY should see volatility but may still be trading slightly below 102.00 tomorrow morning.”