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Analysts at Nomura offered  their preview for today’s FOMC meeting.

Key Quotes:

“We do not expect any major developments at the July/August FOMC meeting. However, it is possible that the post-meeting statement will add “for now” when describing the FOMC’s plans for “further gradual rate increases,” consistent with Powell’s prepared remarks at his semiannual testimony.”

“This subtle change in language would be consistent with the Committee’s continued pullback from  forward  guidance language employed during the aftermath of the Global Financial Crisis.”

“The economic backdrop for the July/August meeting, with a solid Q2 GDP reading and reduced trade tensions between the US and EU, will likely be positive, despite continued elevated trade tensions between the US and China.”