Dollar Surges on Hawkish Fed Hike, But Analysts See Corrective Rebound

The US dollar surged after the Federal Reserve's decision to hike interest rates by a quarter point to 3.75-4.00%, its best daily performance in three months.

The Fed's unanimous decision was seen as hawkish, with most officials penciling in one more rate hike this year, supporting the dollar's rally.

While the near-term strength of the US dollar is significant, analysts continue to view the broader rebound as corrective, suspecting that the year's high is already in.