# Dollar rises to five-week high after Fed policy decision | Reuters

> The dollar rose to a five-week high after the Federal Reserve said it is likely to raise U.S. interest rates in March and will later begin significantly reducing its asset holdings. The moves complete a pivot away from pandemic-era loose policy toward fighting inflation.

- Date: 2022-01-26 · published 2022-01-26T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/12221-dollar-rises-to-five-week-high-after-fed-policy-decision-reuters
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Tighter U.S. policy and a stronger dollar typically pressure dollar-priced commodities and can weigh on export competitiveness, while raising financing costs for feed buyers and feeders.

## Read by commodity

- DXY: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| DXY | 2022-01-27 | 1 | +0.8% | 3.0 | The Fed decision on 2022-01-26 pushed the dollar to a five-week high, and the hawkish pivot carried into the next day's trading and added to the 01-27 move. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-04-25 | [U.S. dollar rises to two-year high; yuan tumbles \| Reuters](https://feedsoft.ai/events/4945-u-s-dollar-rises-to-two-year-high-yuan-tumbles-reuters.md) | +1.2% | +1.1% |
| DXY | 2021-09-29 | [Dollar index hits roughly one-year high a week after Fed policy update - MarketWatch](https://feedsoft.ai/events/45254-dollar-index-hits-roughly-one-year-high-a-week-after-fed-policy-update.md) | +0.1% | -0.5% |
| DXY | 2018-11-09 | [Dollar supported by hawkish Fed, yen bounces after hitting five-week low: Reuters - Forexsites](https://feedsoft.ai/events/62288-dollar-supported-by-hawkish-fed-yen-bounces-after-hitting-five-week-low-reuters.md) | +0.2% | +1.0% |
| DXY | 2017-05-03 | [FOMC Dollar rises gold extends fall after Fed policy statement](https://feedsoft.ai/events/70920-fomc-dollar-rises-gold-extends-fall-after-fed-policy-statement.md) | +0.6% | -1.2% |
| DXY | 2022-09-21 | [U.S. dollar soars to two-decade high as Fed flags more large hikes \| Reuters](https://feedsoft.ai/events/8605-u-s-dollar-soars-to-two-decade-high-as-fed-flags-more-large-hikes-reuters.md) | +2.6% | +2.6% |

## Sources

- reuters.com: https://www.reuters.com/markets/europe/euro-defensive-traders-fret-over-ukraine-tension-hawkish-fed-2022-01-26/

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