AUD/USD soars to 2-week highs after Fed raises rates

The US dollar fell sharply in the market after the Federal Reserve rose rates by 25bp to the 0.75% - 1.00% range, as expected. The greenback weakened after the FOMC projections showed two more rate hikes during the current year. 

AUD/USD jumped from 0.7585 to 0.7663, hitting the highest level since March 2. The pair was holding near the highs ahead of Janet Yellen’s press conference (18:30 GMT). 

The greenback moved modestly off session lows but it was still under pressure across the board weakened by the statement and the updated projections. 

Fed's projections showed the economy growing by 2.1 percent in 2017

AUD/USD levels to watch 

If the pair consolidates above 0.7650, it could rise toward the 0.7690/0.7700 zone that is the next strong resistance; followed by 0.7740 (2017 high). On the downside, 0.7630 (last week high) is now the first support followed by 0.7580 (Mar 7 low) and 0.7555 (daily low).