The U.S. dollar rose broadly in Asian Market opening trades today, recovering from an earlier tumble in the immediate aftermath of the Federal Reserve\'s outsized interest rate cut that had been largely priced in by markets. Yesterday, the U.S. central bank kicked off its monetary easing cycle with a larger-than-usual half-percentage-point reduction that Chair Jerome Powell said was meant to show policymakers\' commitment to sustaining a low unemployment rate now that inflation has eased. While the size of the move had been anticipated by investors in part due to a slew of media reports pointing in that direction ahead of the decision, it defied the expectations of economists polled by Reuters, who were leaning toward a 25-basis-point cut. The USD was on the front foot this morning rebounding from a more than one-year low against a basket of currencies in the previous session and was last marginally higher at 101.29. In major currencies today, against the yen, the greenback gained 0.65% to 143.63. The euro fell 0.06% to $1.1088, away from a three-week high hit in the previous session. The sterling was 0.26% lower versus the USD at $1.3177. Fed policymakers on Wednesday projected the benchmark interest rate would fall by another half of a percentage point by the end of this year, a full percentage point next year and half of a percentage point in 2026, though they said the outlook that far into the future is necessarily uncertain. The Indian rupee opened stronger with a gap of about 07 paise at 83.68/69 against its previous session’s close of 83.75/76 and is expected to trade between 83.65 – 83.75 band today.
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