What Will The Fed Do This Week?

The big question for the market this week is whether the Fed will over-deliver or under-deliver at their upcoming meeting this week. Either way, expect big moves across asset classes with this event.
Share on facebook
Facebook
Share on google
Google+
Share on twitter
Twitter
Share on linkedin
LinkedIn
Follow me

This week all eyes turn to the Federal Reserve’s upcoming rate decision, policy statement and press conference.

A lot has changed in a very short space of time with the unfortunate outbreak and escalation of the Coronavirus. With confirmed cases now sitting at 156K (at the time of writing), the situation remains a major concern for financial markets.

Despite the Fed’s 50-basis point emergency rate cut, the markets are still expecting a lot more from the Fed to appease markets that has seen tremendous volatility and double-digit losses.

Currently, markets are pricing in a 100% probability for a 75-basis point rate cut and pricing in a 70% chance of a 100-basis point cut. With such high expectations on the Fed, the possibility of the Fed disappointing expectations is a growing concern.

This week ahead video will help you prepare for this week’s upcoming event and provide insights into how you could possibly trade it as well.

—-

Highlights of the video:

00:30 – Baseline context for the currency 

01:42 – Baseline expectations for the upcoming risk event

03:17 – Possible sentiment shifts

05:44 – Possible currency pairs to consider

0 0 vote
Article Rating

ARTICLE SEARCH

CATEGORIES

TRADE WITH AN EDGE

A Financial Source subscription is just $97 per month. Cancel in two clicks.
*Limited offer. Normally $247.
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments