Today the two day Federal Reserve meetings start. Chairwoman Janet Yellen is not holding a press conference and updated economic projections will not be released. This meeting is dismissed as a ‘non-event’, however the statement will be released at 19:00 BST and should be digested quickly just in case it is an ‘event’. Look out for the following:-
- Rates on hold, the last rate hike was in 2006, a hint might be given by tweaking their description of the economy.
- The Fed has a dual mandate, both employment and stable prices. An upbeat assessment of the job market whilst energy prices have weakened could signal lift-off.
- The last five Fed Policy Statements have been approved by a 10-0 vote, will this unanimity last forever? Jeffrey Lacker, Richmond Fed President, is seen as the possible dissenter
If this is a non-event we have to wait until September 17 for our next guidance
Good Luck
Anish S. Lal @anish8fx
FX & Precious Metals, Atom8 Financial Services LLP
2nd Floor, Centenary House, Palliser Road, London W14 9EQ, UK
T: +44(0)20 3405 3910 | M: +44 (0)7983701816 | anish.lal@atom8.com | www.atom8.com
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