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FOMC Sees no Inflation Risk in Policy Consideration - USD, S&P500 Reactions

The meeting minutes for FOMC's April 30 policy statement was released to the public today. It reveals that the federal reserve does not feel there is inflation risk at the current mode of monetary policy, which has a directive to lowering unemployment.

This sounds dovish, and we did see the USD sold in the reaction to the release of these minutes.

The USD/JPY for example found resistance after a rally during the earlier part of the 5/21 US session. The trend in the 1H chart is still bearish, but a break above 101.75 could change that outlook.

(usdjpy 1h chart, 5/21)

Meanwhile, the S&P500 seems happy to receive this tone from the FOMC. It is pushing higher after the release, and eyeing the 2014 and all-time high just above 1900.

(s&p500 1H chart, 5/21)