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Forex Today: Fed minutes reveal little interest in rate cuts

Forex Today: Fed minutes reveal little interest in rate cuts

US Federal Reserve meeting minutes released yesterday show that members are unwilling to start cutting rates due to strong demand, growth and persistent inflationary pressure in the US economy, giving a boost to the US dollar.

➡️ The minutes of the latest FOMC meeting at the US Federal Reserve were released yesterday, showing members with little impetus to start cutting rates soon, which is expected to be at 0.50% by July 2024. Members cited inflation well above the 21TP3Q target rate level and unexpectedly strong data on GDP and consumer spending. This had the effect of giving some tailwind to the US dollar's relief rally after it hit its lowest point in months against several currencies, and against stocks after major US indexes also hit highs significant.

➡️ In the Forex market, the US dollar is the strongest major currency in the short term, while it is the weakest. Currency pairs yesterday EUR/USD And AUD/USD they reached new 3-month high prices before collapsing.

➡️ Gold it hit $2,000 an ounce yesterday for the first time in nearly three weeks and is rising toward a new 6-month high of $2,010.

➡️ Canadian data on the CPI (inflation) index published yesterday confirmed expectations, showing an increase of 0.1% on a monthly basis.

➡️ Today the following will be released:

    • Unemployment claims in the United States
    • US consumer sentiment revised  

 

➡️ Tomorrow is a public holiday in Japan and the United States (Thanksgiving).

 

Credit by DailyForex.com

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