The United States will release the weekly Unemployment Claims on October 21, at 15:30 MT time (GMT+3).
What are the details of the FOMC meeting?
What will happen?
FOMC will share its Meeting Minutes on April 7, at 21:00 MT time.
The Fed Chairman Jerome Powell informed that if the situation in the US evolves as per the current dynamic, no rate hike is expected until 2023 – that’s when the US economy is expected to fully recover. While the inflation rate target is 2%, it is currently at 1.7%, and Mr. Powell made it clear they want to see the actual rate not just reach the target but be steadily slightly above it. Noting the difficulties of the labor market and the overall situation, it will take a while to manifest, too.
How to trade the Meeting Minutes?
The bulk of the rate-related information has been already released in the last session. Therefore, investors will be looking for details of what the US Fed has, and possibly, for some new additions – especially if the latter change the overall tone of the Fed’s comment. Generally, any positive data that point to a strong US domestic recovery would support the USD.
- If the Fed’s tone is optimistic about the recovery dynamics, the USD may be boosted;
- If the Fed shares dimmer points, the USD will get pressed.
Instruments to trade: GBP/USD, EUR/USD, USD/JPY, USD/CAD
The Fed is ready to start tapering in November. Since the markets were expecting this and it wasn’t a surprise, the USD slumped allowing risk-on currencies and gold to rally up.
US Retail Sales will be out on October 15 at 15:30 MetaTrader time (GMT+3).
Last week was full of surprises! Stock indices have shown significant growth…
The US dollar is heading to close the seventh day in the red as it remains under selling pressure. The US data at 15:30 GMT+3 (jobless claims and Philly Fed Manufacturing Index) may support the greenback if it's strong.
Canada will publish the Retail Sales and Core Retail Sales on October 22, at 15:30 MT time (GMT+3).