Analysts at ANZ points out that the Federal Reserve’s Federal Open Market Committee (FOMC) meets this week and the recent Fed guidance points to it cutting its interest rate guidance (dot plot) by around 50bp over 2019 and 2020, leaving one hike in the forecast horizon, which ANZ don’t expect the Fed to act on. Key Quotes “We have taken out our final rate hike and see policy on hold.” “The Fed’s tightening cycle looks done for the foreseeable future. Only a sharp and sustained inflation overshoot could trigger further hikes – a scenario we don’t envisage in the next couple of years.” “The Fed may announce an end for quantitative tightening, but the specifics on the balance sheet’s hiatus period, optimal reserve holdings and the duration of its Treasury securities portfolio may not be addressed.” “Chair Powell may be asked about whether the Fed will adopt an inflation overshoot strategy. We expect him to reiterate that the bar is high for changes to the current framework.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next USD/CAD Technical Analysis: Today’s close pivotal FX Street 4 years Analysts at ANZ points out that the Federal Reserve's Federal Open Market Committee (FOMC) meets this week and the recent Fed guidance points to it cutting its interest rate guidance (dot plot) by around 50bp over 2019 and 2020, leaving one hike in the forecast horizon, which ANZ don't expect the Fed to act on. Key Quotes "We have taken out our final rate hike and see policy on hold." "The Fed's tightening cycle looks done for the foreseeable future. Only a sharp and sustained inflation overshoot could trigger further hikes - a scenario we don't envisage in the next… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
