Treasury yields and the Dollar were both lower overnight after the Fed left markets underwhelmed.
The release of important economic data in the US later today has the potential to impact on Dollar pairs as it may influence expectations about US monetary policy, which is a major driver of exchange rates.
Markets have been pricing a near 80% chance of a Federal Reserve rate hike in December, despite persistent downward pressure on inflation. Friday's data could mean markets may now begin to question the wisdom of the Fed going ahead with a rate hike.
The GBP/USD exchange rate fell by close on a percent while the US Dollar index was sharply higher following the release of stronger-than-forecast US inflation data.
Data showing a slowdown in US inflation failed to rattle the dollar on Tuesday as housing stats released at the same time was relatively strong.
On Wednesday the 13th of April a monthly comparison of Core CPI is forecast to show prices rose 0.2% in March, down from the 0.3% in the previous month.