The US dollar has surged to levels unseen since April after the Fed's decision back on Wednesday. Gold has reversed up from the local dips. Still, this week was the worst for gold in more than a year.
US ELECTION: ahead of day 3
So it seems that the mail-in ballots have tilted the table in favor of Joe Biden. There is no conclusion to the story yet, but the visuals speak for themselves: Joe Biden is slowly taking over the score. And the markets?
In general, it got a bit quiet: no sudden movements across the currency pairs on Wednesday close. The USD eventually ended the day on a softer note but currently it seems to be stepping into the correction zone to gain back some value. Gold floats below $1 910 in a local consolidation, and oil eased the bullish rush and bounced a bit down from $39.
The Fed made a hawkish surprise! The bank would start a discussion about scaling back bond purchases. Besides, it is likely to make two interest-rate increases by the end of 2023 (sooner than expected)!
The Federal Reserve will release its statement and announce its interest rate decision at 21:00 MT time. Then, at 21:30 MT time, the central bank will hold a press conference.
Wednesday will please traders as many economic indicators will be out! The USA, UK, and Euro Area will release PMI reports on June 23 from 10:15 to 16:45 MT.
The Bank of England will release its statement and announce its monetary policy decision at 14:00 MT.
Last week the USD soared versus other major currencies, while gold headed for the biggest weekly loss in 15 months. Let’s see what new moves await us this week!