In response to a succession of strong employment-related indicators, there has been a change in expectations of interest rate hikes in the money market. CME FedWatch shows that the 25bp pricing at the February FOMC meeting fell to 58.1% from 69.7% yesterday. On the other hand, the degree of 50bp incorporation increased from 30.3% to 41.9%. Two-year U.S. Treasury yields are trading at 4.45%, up 10 basis points since the announcement.
USD buying is strong today. However, it is assumed that the flow is still easy to change with the headline.