XE Market Analysis: Europe – Jul 30, 2020

The dollar has managed a rebound from post-Fed lows, with the narrow trade-weighted USD index lifting above 93.50 after pinning a fresh 25-month low at 93.18. Fed Chairman Powell gave an unambiguously strong commitment to continued ultra-accommodative policy (“not even thinking about thinking about thinking raising rates”), though there were no changes in terms of the 0%-0.25% rate band, QE, or hints on forward guidance. USD-JPY recouped to a two-day high at 105.29 after printing a five-month low at 104.76 in the wake of the Fed.