SNB and BOE next to step up to the plate today

<p>The dollar is in a commanding spot after the Fed yesterday, as Powell &amp; co. reaffirmed the narrative of higher rates for longer. It was enough to convince markets and Treasury yields in particular is seeing a notable breakout as seen <a href="https://www.forexlive.com/news/treasury-yields-breakout-in-focus-post-fed-20230921/" target="_blank" rel="follow">here</a>.</p><p>The greenback is still sitting higher against the major currencies bloc today, with a softer risk mood to boot. EUR/USD is down 0.2% to 1.0635, looking for a break below the May low at that level itself. Meanwhile, the commodity currencies are the laggards with AUD/USD down 0.6% to 0.6405 currently.</p><p>As higher bond yields are a focus, we still have more central bank meeting decisions to come. Today will feature the SNB and BOE in European trading. The former is surely to stick to the script with a 25 bps rate hike while the latter is now not as certain after the softer UK inflation report yesterday. The odds of a rate hike for the BOE is pretty much a coin flip now at ~50%.</p><p>The pound will be a focus point on its own amid the kind of pricing ahead of the BOE and also with markets trying to decipher what next steps the central bank will take. As for the SNB, it should be a non-event and rather straightforward one as they communicate one final rate hike before moving to the sidelines.</p><p>0645 GMT – France September business confidence0730 GMT – SNB announces September monetary policy decision1100 GMT – BOE announces September monetary policy decision</p><p>That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.</p>

This article was written by Justin Low at www.forexlive.com.