Optimistic forecasts on oil prices, nuclear talks with Iran, and upcoming OPEC+ meeting. How to trade oil these days?
Get ready for FOMC meeting
The US Fed Funds Rate announcement and Press Conference will be at 21:00 MT on January 29.
During its December session, the US Federal Reserve left the target range for the country interest rate at 1.5-1.75%. This was exactly what the market had expected, so the audience received this outcome as natural and was reassured that the rate will stay most probably unchanged in 2020. Intending to keep the rate at the current level until there is a major indication to do otherwise, the Fed enters a dilemma. On the one hand, Donald Trump keeps blaming Fed Chair Jerome Powell for a high interest rate and pushing to cut it “down to zero” to make the US more competitive. On the other hand, there have been concerns voiced out that the already low rate may lead to financial misbalance. What strategic line will the Fed choose for 2020?
- If the US Fed expresses more dovish tones, the USD will fall;
- If the US Fed expresses more hawkish tones, the USD will rise
Great news for oil bulls! OPEC and its allied producers agreed to expand output cuts for the next month.
During the recent days, silver made a spectacular rise to $30. Not only gold shines, it seems! It's all still an echo of Reddit, though...
What events to follow and how to trade during the week of July 2-6?
EUR/USD retraced to 1.1870 after breaking out this level. It should be just a natural sell-off ahead of the further rally up.
The Fed held a much-awaited meeting yesterday. The bank hasn’t made any policy changes. As a result, the USD weakened and EUR/USD rocketed. Jump in to know all the latest news!