FXStreet (Delhi) – US economists Michelle Girard and Kevin Cummins at RBS, expect the October FOMC meeting to be relatively uneventful and suggest that there will be no hike for this year.
Key Quotes
“While the FOMC has made clear that every meeting is “live” (i.e. a rate hike could occur at any meeting), the case for hiking is even weaker than in September, with both data and Fedspeak softening.”
“Minor tweaks to the FOMC statement are possible, but no updated forecasts will be released
and no post meeting press conference is scheduled. Market participants should rather focus the FOMC minutes release (18 November), as this might give some hints on how the discussion is shaping.”
“Our US economists consider that Yellen’s view should not differ much from the one expressed by Brainard and Tarullo – who have been vocally making a case for not hiking this year.”
(Market News Provided by FXstreet)