Fed Chair Jerome Powell said in his post-FOMC meeting press conference on Wednesday that the US economy is very strong and the Fed thus expects to reduce the size of its balance sheet. The slowdown from Omicron was mild and brief, Powell added, noting that labour markets are extremely tight …
Read More »How Important Is Fed’s First Rate Hike Since 2018 To Future of US Economy?
The Federal Reserve has just raised its benchmark interest rate for the first time since 2018, but it is already time for the market to look beyond this move. While there are complicating factors such as the war in Ukraine, the most prominent issue for the Fed is that economic …
Read More »Fed lifts rate by 25bps, signals more hikes
The US Federal Reserve announced on Wednesday that the Federal Open Market Committee (FOMC) had voted to lift the Federal Funds Rate (FFR) target range to 0.25-0.50% from 0.00-0.25%, as expected. In the Fed’s updated statement on monetary policy, it signaled that further rate hikes would likely be appropriate, as …
Read More »Russia on verge of debt default amid sanctions
Russia is spiraling closer to a historic debt default that could ripple throughout the global economy after the U.S. and its European allies hit the Kremlin with a slew of crippling financial sanctions. Moscow’s invasion of Ukraine nearly one month ago, the biggest attack on a European state in decades, …
Read More »USD/CAD Edges Lower Ahead Of FOMC Decision
The Canadian dollar advances some 0.30% vs. the greenback amid an increased risk appetite. Discussions between Russia-Ukraine would continue, though fighting remains. The USD/CAD pair slides for the second straight day in the week, ahead of the FOMC monetary policy decision amid a risk-on market mood, as geopolitical jitters around …
Read More »USD/JPY Maintains Pre-Fed Strength
The USD/JPY pair continues to move higher and, just under 118.50, is on course for an eighth successive day in the green territory.The pair is eyeing a break above late-2016/early-2017 highs in the 118.60s. Markets are risk-on in the lead up to the Fed announcement amid signs of progress in …
Read More »FED Preview: Forecasts From 4 Major Banks
The US Federal Reserve will announce its monetary policy decisions on Wednesday, March 16 at 18:00 GMT, and as we get closer to the release time, here are the expectations as forecast by analysts and researchers of 4 major banks. JP Morgan “The Fed is gearing up to combat rising …
Read More »British Prime Minister seeks to increase supplies of UAE and Saudi oil
British Prime Minister Boris Johnson will visit the United Arab Emirates and Saudi Arabia on Wednesday as part of efforts to secure more oil supplies and increase pressure on Russian President Vladimir Putin over Ukraine. At a time when Britain, like most of the West, faces a state of frenzy …
Read More »Market Drivers – US Session – 15 March
The US dollar started the day on the back foot but managed to recover the ground lost during US trading hours. The EUR/USD pair is trading at around 1.0940, while GBP/USD changes hands at 1.3035.Economic DataCanada’s benchmark index extended losses for a third straight session on Tuesday, as weakness in …
Read More »Could US Retail Sales Data Redirect FOMC’s Decision?
Economists expect US Retail Sales to have risen by a modest 0.4% in February. Robust consumption figures in previous months open the door to an upside surprise.Surge in the dollar could serve as a selling opportunity ahead of a potentially dovish Fed. Even war cannot stop America’s shopping extravaganza and …
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