And we are off – The Fed rate hike and Euro tests 1.3444

The Fed announces the much awaited and anticipated policy rate hike and the dollar jumps. This is the game changer we had all been waiting for. Given it is Friday, there is going to be a lot of action today in the market in Euro, Oil and Gold. Atleast two if not more of the three should head lower. Euro already tested 1.3444 and it was only early this week that OilTrader at Darden had asked if Euro would touch 1.34. Great call Adnan.

Update: 11: am Tokyo, 19th Feb

Euro trades at 1.3493 in Tokyo, Oil slips on EIA inventory gains (indicating weak US domestic demand) and gold is expected to slip further today and next week on the back of the dollar spike against Euro and the IMF 191 metric ton gold sales plan.