Sterling focus in run up to FOMC

15 September, 2015

Investors continue to gear up for Thursday’s FOMC rate decision with markets drifting sideways but with a bearish bias, meanwhile volatility remains at elevated levels compared to the rest of 2015. There is a palpable nervousness with the decision nearing as there is still a chance the Fed will move to raise rates for the first time in nine years, despite calls from many major institutions such as the IMF and World Bank to delay a hike until later. The focus remains on the incoming US economic data and today we see retail sales and industrial production which could easily impact the dollar.

Ahead of the US data we see UK inflation figures which could see a dip back into deflationary territory given expectations are for a Y on Y figure of 0.0% and the price of oil has remained anchored. This data comes ahead of Wednesday’s unemployment and average earnings release, then retail sales on Thursday, so a busy week for sterling and could be even more so if the Fed does hike that evening as markets expect the Bank of England to commence their tightening cycle soon after the Fed’s.


Source link  
Oil Slumped Post OPEC Extension

On Thursday, OPEC announced that the existing output cut agreement will be extended for an additional 9 months...

USD Bounces From Month Low

Trump administration has presented its 2018 budget plan to Congress last evening. The budget plan calls to slash $3.6 trillion...

Dollar index hit a new low

The dollar index hit a new post presidential election low of 96.95 on Friday May 19th. EUR/USD hit a high of 1.1211...


USD Hit Post Election Low

To date the dollar index has almost given up all of the post presidential election rally...

BoE Expected to Keep Rates Steady

ECB Governor Draghi will make a speech in the Dutch Parliament at 12:00 BST today. It will be Draghi first speech...

Trump's Tax Reform Plan

US Treasury Secretary Mnuchin announced Trump’s tax reform plan in a press conference...


Corporate Earnings Lift US Stocks

Last week the US President Trump stated on twitter...

Market Concerns Eased

The first-round voting of the French presidential election was revealed on Sunday night...

Dollar Plunged on Trump Second Statement

The dollar index fell to a 2-week low of 99.91 in the early hours...

  


Share: