Note

US DOLLAR DECLINING AHEAD OF FOMC DECISION

· Views 27



  • US Dollar has declined ahead of today's FOMC decision.
  • Consensus expects a 25 bps cut, but some analysts predict a larger 50 bps cut.
  • Fed's Dot Plot will be closely watched, as they are expected to show a dovish shift.

The US Dollar Index (DXY), which measures the value of the USD against a basket of six currencies, has declined ahead of today's Federal Open Market Committee (FOMC) decision. Market consensus anticipates a 25-basis-point (bps) rate cut, although some analysts predict a larger 50 bps reduction. The Fed's Dot Plot, which outlines the FOMC members' projections for future interest rate movements, will be closely scrutinized for any signs of a dovish shift.

The pricing of the markets of a 50 bps cut seems unrealistic as, despite weakness in the labor market, the overall economy is showing resilience.


Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.

FOLLOWME Trading Community Website: https://www.followme.com

If you like, reward to support.
avatar

Hot

No comment on record. Start new comment.