This week, our Global FX Strategists unpack the fallout from the FOMC for the dollar, as well as implications from another round of Japan FX intervention against a BoJ hold. We also look at AUD’s reaction to recent local data and implications from the BoE meeting for GBP. Speakers: Patrick Locke, Global FX Strategy Junya Tanase, Global FX Strategy Ben Jarman, Global Economics, Rates &amp; FX Strategy Kunj Padh, Global FX Strategy This communication is provided for information purposes only. Institutional clients can view the related report at https://www.jpmm.com/research/content/GPS-5388109-0, https://www.jpmm.com/research/content/GPS-5390436-0 for more information; please visit www.jpmm.com/research/disclosures for important disclosures. © 2026 JPMorgan Chase &amp; Co. All rights reserved. This material or any portion hereof may not be reprinted, sold or redistributed without the written consent of J.P. Morgan. It is strictly prohibited to use or share without prior written consent from J.P. Morgan any research material received from J.P. Morgan or an authorized third-party (“J.P. Morgan Data”) in any third-party artificial intelligence (“AI”) systems or models when such J.P. Morgan Data is accessible by a third-party.

Global FX: Dollar down after FOMC, MoF intervention

At Any Rate

Hello and welcome to this week's At Any Rate podcast. My name is Pat Locke, FX strategist based out of New York here at J.P. Morgan. I'm joined this week by my colleagues, Junya Tanase, out of Tokyo, Ben Jarman out of Sydney, and Kunjpad next to me here in New York. Pretty big, significant week feels like for the FX space. Dollar's gotten hit pretty hard by the combination of the FOMC outcome and then the MOF stepping in and pouring some gasoline on it as well.

We'll break all that down this week. I guess, you know, from my side, just to kick off from the Fed, you know, Wednesday definitely felt like kind of a material setback for the dollar. It's not the end of kind of the dollar up view that we have at this point, but again, it was a kind of a tactical setback and the MOF kind of accelerated that for the time being.

But just to kind of like walk through what happened, you know, looking at the two o'clock, I thought there were actually some hawkish components at the outset in the prepared remarks. And obviously we got three descents, which is kind of the higher end of what we kind of were expecting. So I think reasonably speaking, the 2 p.m. delivery met kind of the hawkish bar that we had been expecting to take the dollar up a little bit. You know, even at two o'clock, the dollar started selling off.

And I think in retrospect, you know, our conversations over the kind of preceding 24 hours tended to indicate that people had actually gotten pretty hawked up and were really kind of leaning into this idea that the Fed might actually hike on the day.

Global FX: Dollar down after FOMC, MoF intervention

Read the full transcript

The candid version is on a podcast,
not the earnings call.

Global FX: Dollar down after FOMC, MoF intervention

Read the full transcript

The candid version is on a podcast, not the earnings call.

The candid version is on a podcast,
not the earnings call.