Mar
FOMC Rate Hike-Is that Big Surprise or Not for a Traders
> Today, FOMC decision has traders expecting a rate hike & hint for further reduction through 2017.
> Fed Funds futures show confidence of a 25bp hike at present with debate of 3 to 4 hikes for the year. It’s a high block.
> Whether Dollar, reserves or risk opportunities, traders be supposed to account for reasonable tentative impact.
The Fed Reserve is gearing up to raise interest rates for the 1st time in 2017 & as a substitute rising, US yields fell, spent USDJPY down with it. Though the dollar did not fall against other key currencies instead it respected across EUR, GBP, AUD, NZD & CAD. This value action tells us that yesterday’s move in bonds & the USDJPY pair is a function of profit taking before the most important event risk of the month & the quarter. The market has completely priced in a rate hike on Today’s event & the only surprise would be if the Fed Reserve decided to keep rates stable, which is extremely unlikely. Central bankers hatred big moves & if they feel that the market was mispricing prospects for tightening, someone would have supposed something by at present. As an alternative, we heard a chorale of US policymakers who indicates that March is the exact time for a hike. Of course none of this is surprising & our readers are principally interested in whether they should trade or fade FOMC.
Euro-Zone
Share This Post
Categories
Popular
Why we choose Forex Market?
Oct 06 , 2015
Forex, Commodity and Binary Trading Signals on 5th May 2016
May 04 , 2016
Forex Trading Terminologies
Oct 21 , 2015
Recent
Forex Weekly Technical Outlook on 7-11 August 2017
Aug 07 , 2017
Forex Weekly Technical Outlook on 24-28 JULY 2017
Jul 24 , 2017
Forex Weekly Technical Outlook on 12 JUNE 2017
Jun 12 , 2017
Archives
July 2017
June 2017
May 2017
April 2017
March 2017
February 2017
January 2017
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
December 2015
November 2015
October 2015
September 2015