Should We Be Wary of Significant Price Movements Following the FOMC Meeting?
22.09.2021
- U.S. FOMC Policy Rate and Statement Announcement
- U.S. Existing-Home Sales
Yesterday, the three major U.S. stock indices traded mixed, resulting in a market characterized by flat stock prices, flat interest rates, and lower crude oil prices. WTI crude oil briefly fell below the key $70 level, dropping to $69.3, but is currently trading around $71.2.Gold has risen to the $1,776 range.
In the foreign exchange market, as the U.S. dollar continues to weaken, European currencies and the U.S. dollar remain in a tight race, with the euro/dollar pair trading within a range of 1.170 to 1.175.The EUR/USD pair has not yet recovered from its sharp drop two days ago, and the focus will likely be on whether it can hold above the support level at 1.166, its recent low on the daily chart.
Today’s schedule includes a press conference by Bank of Japan Governor Kuroda at 15:30 Asia time; the Turkish Consumer Confidence Index at 16:00 Europe time; the South African Consumer Price Index at 17:00; the U.S. MBA Mortgage Applications Index at 20:00; and at 23:00 U.S. time, the U.S.existing home sales at 23:30, U.S. weekly crude oil inventories at 23:30, the FOMC policy rate decision and statement at 27:00, and a press conference by Federal Reserve Chair Powell at 27:30.We will be watching closely to see how much progress is made in the tapering discussions at today’s U.S. FOMC meeting.
Author: Keisuke Sakurai
