FXStreet (Edinburgh) – Strategists at TD Securities believe the tone of the FOMC statement tomorrow could lean towards the hawkish side.
Key Quotes
“After additional volatility in Chinese equity markets overnight, financial markets have settled into lockdown mode ahead of tomorrow’s crucial FOMC meeting”.
“While our ambition to get a clear policy steering from the Fed is rather limited, we do think there is scope for several subtle but important upgrades to the statement”.
“On balance, we think the risks favour a more hawkish outcome than expected, but the minutes from this meeting (released 19 Aug) may be more revealing about intentions for the September FOMC meeting”.
(Market News Provided by FXstreet)