Market Update: FOMC & USD
Hi traders, today we look at the upcoming FOMC meeting and the USD. We take a look at the current USDCHF daily chart due to its close relationship with the USD index. Please note it’s not exactly the same as the USD index but in Forex pair terms it’s a good match.
Traders will be looking to tonight’s FOMC meeting with interest as it’s the first of the year, the FED will offer information on the future of the economy and rates after skipping the March meeting due to the COVID-19 outbreak. Traders are also looking for more detail on the ongoing bond-buying program. It currently stands at 4-trillion a day, FED chair Powell is expected to try and smooth the markets. The federal funds rate is also released during the meeting and is expected to remain on hold.
We also have U.S. CPI data due at 10:30 pm AEST, and it’s expected to come in at 0.00% on both the CPI and Core CPI.
The FOMC meeting will be at 4 am and the FOMC Press Conference will be held at 4:30 am AEST Thursday morning.
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