Federal Reserve “won’t formally announce tapering next week”

The awaited critical event for markets next week will be the Federal Reserve meeting. As observers suggest, the meeting may prove unextraordinary. They do not expect the Fed to formally announce a decision on the reduction of the purchase program.
After a disappointing August’s jobs report, instead, tapering outsized asset purchases is anticipated later this year. Investors are closely following Jerome Powell’s press conference for clues on the exact timing.
While an official announcement is not expected to be released, Fed chair would continue to preemptively refute any links between the timing of the taper and rate highs.
As for inflation, it is expected that the transitory and temporary narrative will prevail again, both in the statement and press conference.
Finally, the statement will also be released along with a fresh Summary of Economic Projections and probable growth projections and rate hikes moved into 2022.