USD had a volatile session on Monday seeing two-way price action, with geopolitical risks from the conflict in the Middle East seeing DXY gap higher on the open and rally to a high of 106.60. The move higher dramatically reversed after dovish Fed commentary from both FOMC members Logan and Jefferson who acknowledged the recent move higher in yields had tightened financial conditions, meaning the Fed may not have to do as much as far as hiking rates goes. This saw a dovish repricing of Fed rate hike odds for their November meeting and a move forward of rate cuts to June 2024. DXY breaking it’s trendline support and ... (full story)