# Fed likely to hike rates in March as Powell vows sustained inflation fight | Reuters

> The Fed is likely to hike rates in March, with Powell signaling a sustained fight against inflation and a decision soon on shrinking the balance sheet. The dollar surged 0.5% to a one-month high against a basket of major currencies.

- Date: 2022-01-27 · published 2022-01-27T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/12223-fed-likely-to-hike-rates-in-march-as-powell-vows-sustained-inflation-fight
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A rate-driven dollar rally tends to pressure dollar-denominated commodity prices and raises carrying costs for inventories and feed purchases.

## 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 | Dated 2022-01-27, it describes the dollar surging to a one-month high after Powell signaled a March hike and a sustained inflation fight, a hawkish repricing that drove the move. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-03-16 | [Fed finally moves against inflation with rate hike \| Reuters](https://feedsoft.ai/events/42200-fed-finally-moves-against-inflation-with-rate-hike-reuters.md) | -1.0% | -0.7% |
| DXY | 2018-04-11 | [Fed minutes: 'All' members see higher GDP and inflation, and more rate hikes](https://feedsoft.ai/events/65431-fed-minutes-all-members-see-higher-gdp-and-inflation-and-more-rate-hikes.md) | -0.3% | +3.4% |
| DXY | 2022-02-10 | [Hot inflation fuels case for 'big-bang' Fed rate hike in March](https://feedsoft.ai/events/42644-hot-inflation-fuels-case-for-big-bang-fed-rate-hike-in-march.md) | -0.1% | +1.7% |
| DXY | 2023-07-26 | [Fed lifts rates, Powell leaves door open to another hike in September](https://feedsoft.ai/events/35277-fed-lifts-rates-powell-leaves-door-open-to-another-hike-in-september.md) | +0.6% | +2.1% |
| DXY | 2018-05-07 | [Dollar marches to 4-month high as oil rally points to higher inflation - MarketWatch](https://feedsoft.ai/events/65209-dollar-marches-to-4-month-high-as-oil-rally-points-to-higher-inflation.md) | +0.0% | +1.4% |

## Sources

- reuters.com: https://www.reuters.com/business/finance/inflation-fighting-fed-likely-flag-march-interest-rate-hike-2022-01-26/

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