BREAKING: Fed keeps rates unchanged. QT tapering

• Key rate kept unchanged at 5.5% in line with expectations. 
• Fed announced QT tapering. Fed decided to cut treasury runoff cap to $25B (previously QT pace was at $60B), keeps MBS cap at $35B. Tapering starts June 1st. 
• Fed points that there has been a lack of further progress towards inflation objective, and market sees the first possible cut in November.
• Fed sees solid pace of GDP growth and stresses that job gains have remained strong.

The greenback is under pressure (however, a pullback was rather short-lived) as the committee decided to begin QT tapering from June. On the other hand, the Fed pointed that there is no progress in achieving inflation objective and the market sees that the first cut will be possible in November. '