The U.S. dollar has reached a one-week high against many major currencies ahead of the Fed’s official decision regarding the economic stimulus as investors seem to be abandoning their bearish tendencies towards the currency.

Following the the 16-day government shutdown earlier this month that resulted in a decision to raise the nation’s debt ceiling and the anticipated decision that the Fed would therefore extend its quantitative easing programme into at least the first quarter of next year, investors eagerly sold their greenbacks pushing the currency’s value into a deep low.

Although the dollar weakened after every single Fed meeting this year, with the exception of June’s meetings, the market seemed more positive toward the dollar this week. With investors having already reacted to the anticipated continuation of the economic stimulus, no further surprises are expected from this 29-30 October Fed meeting, the result of which will be announced at 6 p.m. GMT today.

Only last Friday the dollar had plunged to a nine-month low with its index recording 78.998, but on Wednesday it shot up to 79.692, its highest point since 22nd October. Yesterday the currency closed at 79.648, recording a 0.1 percent rise from its previous position.

Some analysts, moreover, believe that the rise the dollar experienced the last few days has been driven by investors closing short positions they had opened earlier this month, rather than a real change of sentiment in the market.