"While our economist Michelle Girard thinks the Fed may disappoint on giving a “firm” signal, which would fit with their data dependent outlook, she sees a risk that the FOMC minutes begin to put a greater emphasis on the pace of hikes being gradual. A clear discussion along those lines may be a “soft signal” that an earlier start to rate hikes, giving more assurance that a gradual pace can be taken, is the preferred path of the FOMC’s majority."" ...
The Fed’s June statement and press conference failed to provide a catalyst for renewed USD gains and the currency has weakened in the aftermath of the meeting, notes BNP Paribas. "Market participants seemed to focus on the shift lower in the Fed’s projection for the Fed funds rate, with the average “dot” for end 2015 falling to 57bp from 77bp. In her press conference, Chair Yellen noted that the conditions for justifying policy tightening ...
- U.S. Non-Farm Payrolls (NFP) to Expand 200+K for Twelve Consecutive Months. - Average Hourly Earnings to Show the First Uptick Since July 2014. Trading the News: U.S. Non-Farm Payrolls A 230K rise in U.S. Non-Farm Payrolls (NFP) accompanied by faster wage growth may heighten the appeal of the greenback and spur a short-term selloff in EUR/USD as it boosts expectations of seeing the Federal Open Market Committee (FOMC) normalize monetary policy in mid-2015. ...
- Will Seasonal Factors Spur Better-Than-Expected Retail Sales Report? Trading the News: U.S. Advance Retail Sales A pickup in Advance U.S. Retail Sales may generate short-term decline in EUR/USD as stronger consumption raises the growth and inflation outlook for the world’s largest economy. What’s Expected: Why Is This Event Important: Indeed, an ...
- U.S. Non-Farm Payrolls (NFP) to Expand 200+K for Eighth Time in 2014. - Jobless Rate to Hold at 5.9% for Second Consecutive Month. Trading the News: U.S. Non-Farm Payrolls The U.S. Non-Farm Payrolls (NFP) report may generate a further decline in the EUR/USD as market participants anticipate a pickup in job growth. What’s Expected: Why Is This Event Important: At the same time, Average ...
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