At the beginning of the Fed policy meeting, commodity currencies drifted lower, however, a recovery was seen in the mid-session as mixed expectations surrounded the market. The Australian Dollar gained 0.46 percent, extending the uptrend after the RBA left its cash rates at a record low of 1.50 percent. Adding to the upward path of the Aussie was the BoJ’s new policy framework with yield curve control.

The Reserve Bank of Australia kept its interest rates unchanged as the economic recovery remained stable, not far from the market expectations. After the rate cuts in May and August, the RBA hold of the adjustments as the housing market drove lower. The central bank of Australia was quoted of saying “appreciating exchange rate could complicate adjustments in economy.”