Mon, Jun 21, 2021 @ 22:08 GMT
HomeContributorsFundamental AnalysisFOMC: Steady As She Goes

FOMC: Steady As She Goes

As was discussed in out FOMC Preview, not much has changed in the FOMC’s view since the March 17th meeting. Although they acknowledge that inflation has risen, they also note that the inflation is transitory. They noted that the vaccinations and strong policy support economic activity. They also note that employment has strengthened, although risks remain.

What do those changes mean? Not much at this time. With no economic and inflation forecasts, and not enough hard data for the Fed to look at since the last meeting, they left interest rates unchanged and maintained the $120bln bond purchase program. No mention of bond tapering or guidance whatsoever. The decision was 11-0.

Gold initially spiked lower to spiked lower to 1770 and the DXY spiked to resistance at 91.00. However, the pre-FOMC moves continued for the day as the press conference gets under way.

Gold

DXY

Forex.com
DISCLAIMER: The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase of sale of any currency. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

Featured Analysis

Learn Forex Trading