• This morning, world markets are primed for one of the most important FOMC meetings in decades. A rate hike has been on the cards for the past few quarters, but now we’re reaching crunch time with many analysts expecting the Fed to delay a rate hike in light of the recent Chinese turmoil. The fact is that the outcome of this meeting is still highly uncertain, but the balance seems to be tipping slightly towards no action this month. As ever though, it’s not just this month’s decision that analysts will be looking at, but hints at the future direction of travel.
• The dollar sold off heavily yesterday, helping oil and gold to spike hight. Things are a little more unsettled this morning though as traders keep their powder dry.
• The dollar pairs are generally quiet, with the euro enjoying some interest. Yesterday, it was the pound’s turn to shine as data and MPC comments pointed to a rate hike in the short term.
• Elsewhere, the yen pairs are generally on top as the dollar backs off in the face of interest rate uncertainty.
Coming up today:
• Coming up today we have UK retail sales at 09.30. This is followed by US building permits and unemployment claims at 13.30. The Philly Fed manufacturing index follows at 15.00.
• The big ticket is of course the FOMC meeting at 19.00 with the press conference to follow at 19.00.
Trade Idea:
• Betting on anything right now is highly uncertain, but there may be some value in betting on an overreaction in the event of a rate hike. Most market traders expect or want a stay of rate hike execution and this seems to be priced in right now. Therefore if the Fed surprises with a hike, we could see the dollar leap and the likes of the AUD/USD plunge.
Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.
Markets Betting On Fed Relief
Morning Report: 08.00 London
• This morning, world markets are primed for one of the most important FOMC meetings in decades. A rate hike has been on the cards for the past few quarters, but now we’re reaching crunch time with many analysts expecting the Fed to delay a rate hike in light of the recent Chinese turmoil. The fact is that the outcome of this meeting is still highly uncertain, but the balance seems to be tipping slightly towards no action this month. As ever though, it’s not just this month’s decision that analysts will be looking at, but hints at the future direction of travel.
• The dollar sold off heavily yesterday, helping oil and gold to spike hight. Things are a little more unsettled this morning though as traders keep their powder dry.
• The dollar pairs are generally quiet, with the euro enjoying some interest. Yesterday, it was the pound’s turn to shine as data and MPC comments pointed to a rate hike in the short term.
• Elsewhere, the yen pairs are generally on top as the dollar backs off in the face of interest rate uncertainty.
Coming up today:
• Coming up today we have UK retail sales at 09.30.
This is followed by US building permits and unemployment claims at 13.30. The Philly Fed manufacturing index follows at 15.00.
• The big ticket is of course the FOMC meeting at 19.00 with the press conference to follow at 19.00.
Trade Idea:
• Betting on anything right now is highly uncertain, but there may be some value in betting on an overreaction in the event of a rate hike. Most market traders expect or want a stay of rate hike execution and this seems to be priced in right now. Therefore if the Fed surprises with a hike, we could see the dollar leap and the likes of the AUD/USD plunge.
A good way to play this is a ONE TOUCH trade predicting that the AUD/USD will touch 0.7000 at some point in the next 5 days could return 261% if successful.
Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.
Summary:
Email [email protected] or skype me at bomaffiliates-karen
Related Posts: