The global forex market

THE US dollar plunged 1.34% to 96.820 after the Federal Reserve delivered an emergency rate cut – the first time since Oct 15, 2008. The target range now stands at 1.00%–1.25%.

Besides, February’s ISM Manufacturing PMI eased to 50.1 from 50.9 in January (cons: 50.5); and January’s factory orders dropped 0.5% m/m from 1.9% m/m in December (cons: -0.1% m/m). However, other healthier data that was released still could not offset the negative impact, such as: (1) Michigan consumer sentiment grew to 101 in February from 99.8 in January (cons: 100); (2) February’s Chicago PMI climbed to 49.0 from 42.9 in January (cons: 45.9); and (3) better-than-expected February’s ISM non-Manufacturing PMI which rose to 57.3 from 55.5 in January, marking a 12-month high (cons: 54.9).