Fed was more dovish than the market expected in its just concluded FOMC meet on the 20th of March 2019. The first reaction was seen in fall in US treasury yields followed by a rally in EM currencies against the USD. INR is trading stronger post Fed meet, while Gsec yields have fallen and Sensex & Nifty are trading higher.
In its latest policy meeting held on 20th March, Federal Reserve left its key interest rate unchanged and projected no rate hikes in 2019 and one rate hike in 2020 and none in 2021. Federal Reserve said that it is keeping the interest rate at 2.25%-2.5% and it will stop shrinking its bond portfolio in September.