# Dollar surges as hawkish Fed raises rates maintains rate outlook talks balance sheet reduction

> The Federal Reserve raised its benchmark rate by 25 basis points, as widely expected, and kept its outlook for a third hike in 2017. The statement was more optimistic than expected, noting solid employment and expanding household spending despite softer inflation. The dollar surged after the decision.

- Date: 2017-06-14 · published 2017-06-14T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/10196-dollar-surges-as-hawkish-fed-raises-rates-maintains-rate-outlook-talks-balance
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A hawkish Fed lifts USD-denominated yields and the dollar, which tends to pressure dollar-priced commodities and raises import costs for feed buyers in other currencies.

## Read by commodity

- DXY: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| DXY | 2017-06-15 | 1 | +0.7% | 3.5 | The hawkish Fed hike with an intact third-hike outlook and balance sheet reduction plan triggered a dollar surge, which is the main driver of the move. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2016-12-15 | [Dollar, bond yields advance on Fed rate outlook](https://feedsoft.ai/events/6462-dollar-bond-yields-advance-on-fed-rate-outlook.md) | +1.6% | +1.1% |
| DXY | 2018-09-28 | [Dollar gains on euro woes, Fed rate outlook](https://feedsoft.ai/events/63239-dollar-gains-on-euro-woes-fed-rate-outlook.md) | +0.6% | +1.3% |
| DXY | 2019-07-31 | [Dollar up, stocks tumble after Fed rate outlook as pound stalls \| Malay Mail](https://feedsoft.ai/events/58020-dollar-up-stocks-tumble-after-fed-rate-outlook-as-pound-stalls-malay-mail.md) | +0.9% | +1.8% |
| DXY | 2022-09-28 | [Rand weakens as dollar advances on hawkish Fed - Moneyweb](https://feedsoft.ai/events/39845-rand-weakens-as-dollar-advances-on-hawkish-fed-moneyweb.md) | -1.8% | -1.5% |
| DXY | 2026-03-30 | [Dollar rebounds as shale 'isolates' US but Fed outlook clouds gains](https://feedsoft.ai/events/20353-dollar-rebounds-as-shale-isolates-us-but-fed-outlook-clouds-gains.md) | -0.2% | -1.8% |

## Sources

- forex.com: https://www.forex.com/en/news-and-analysis/dollar-surges-as-hawkish-fed-raises-rates-maintains-rate-outlook-talks-balance-sheet-reduction/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.