# Dollar dips after Fed confirms beginning of taper

> The dollar eased after the Fed announced it would start cutting its monthly asset purchases by $15 billion. The Fed kept its view that high inflation was transitory and gave no clear signal on when it would raise rates. The dollar index stayed near 94.07, close to its 2021 peak.

- Date: 2021-11-03 · published 2021-11-03T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/44248-dollar-dips-after-fed-confirms-beginning-of-taper
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A softer dollar after the taper announcement is mildly supportive for dollar-priced grain and oilseed prices. The muted reaction means the effect on feed commodity markets is limited.

## Read by commodity

- DXY: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2021-07-28 | [US dollar, stocks dip as Fed keeps taper timing close to chest](https://feedsoft.ai/events/45971-us-dollar-stocks-dip-as-fed-keeps-taper-timing-close-to-chest.md) | -0.4% | +0.4% |
| DXY | 2019-06-17 | [FX Talking: The beginning of the end of the dollar’s rally \| reports \| ING THINK](https://feedsoft.ai/events/9810-fx-talking-the-beginning-of-the-end-of-the-dollar-s-rally-reports-ing-think.md) | -0.9% | -1.1% |
| DXY | 2023-04-04 | [Dollar slumps after weak data, markets bet Fed nears end of hiking cycle](https://feedsoft.ai/events/36647-dollar-slumps-after-weak-data-markets-bet-fed-nears-end-of-hiking-cycle.md) | +0.4% | +0.1% |
| DXY | 2024-11-07 | [Gold holds firm after US Fed rate cut, softer dollar](https://feedsoft.ai/events/27332-gold-holds-firm-after-us-fed-rate-cut-softer-dollar.md) | +1.0% | +0.8% |
| DXY | 2021-08-27 | [Dollar slips after Powell embraces tapering, holds on rate hikes](https://feedsoft.ai/events/45477-dollar-slips-after-powell-embraces-tapering-holds-on-rate-hikes.md) | -0.9% | -0.0% |

## Sources

- reuters.com: https://www.reuters.com/business/cop/dollar-hovers-near-peaks-fed-heads-taper-2021-11-03/

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