A surprise shift in central bank guidance was the story that dominated trading desks this period, and the aftershocks are still working their way through several asset classes.
Initial reactions were mixed, with some desks reading the shift as confirmation of an existing trend and others treating it as a genuine surprise requiring a reassessment of positioning heading into next quarter.
Currency markets absorbed most of the immediate volatility, with several major pairs swinging through a wider range than we've seen in recent weeks before stabilizing into the close.
Options markets showed increased implied volatility pricing heading into the announcement, suggesting professional desks had been positioning for a larger-than-average move well in advance.
As always, it's worth watching how this develops over the coming sessions rather than overreacting to a single day's price action.
