The Real A.F.I_FOREX CHANNEL📚💡👨💻📊📈
Key Take away from the FOMC Minutes released on Wednesday: 1. Most respondents to the Open Market Desk’s surveys viewed a 50 basis point increase in the target range for the federal funds rate at the December meeting as the most likely outcome. In other…
2. In discussing potential policy actions at upcoming meetings, participants reaffirmed their strong commitment to
returning inflation to the Committee’s 2 percent objective, and they continued to anticipate that ongoing increases in the target range for the federal funds rate
would be appropriate in order to attain a sufficiently restrictive stance of policy to bring inflation down over
time. Many participants commented that there was significant uncertainty about the ultimate level of the federal funds rate needed to achieve the Committee’s goals
and that their assessment of that level would depend, in
part, on incoming data.
Overall, the market is expecting the FED to be less aggressive. As you may already know, the monetary policy effects are lagging so the FED don't want to overdo it and lend the economy into a disinflationary situation.
Also important to note, the market is forward looking and tends to price in what the FED might do in the near future. This is why we are seeing a risk-on sentiment play out. Be adaptive.
returning inflation to the Committee’s 2 percent objective, and they continued to anticipate that ongoing increases in the target range for the federal funds rate
would be appropriate in order to attain a sufficiently restrictive stance of policy to bring inflation down over
time. Many participants commented that there was significant uncertainty about the ultimate level of the federal funds rate needed to achieve the Committee’s goals
and that their assessment of that level would depend, in
part, on incoming data.
Overall, the market is expecting the FED to be less aggressive. As you may already know, the monetary policy effects are lagging so the FED don't want to overdo it and lend the economy into a disinflationary situation.
Also important to note, the market is forward looking and tends to price in what the FED might do in the near future. This is why we are seeing a risk-on sentiment play out. Be adaptive.
Eurozone inflation comes down in November, paving way for 50bp ECB hike
Inflation dropped more than expected from 10.6 to 10% in November, mainly on energy price developments. Core inflation remained stable at 5% though. While we’re far from out of the woods yet, it does look like the current economic environment could push the European Central Bank to a smaller 50bp hike next month.
Inflation dropped more than expected from 10.6 to 10% in November, mainly on energy price developments. Core inflation remained stable at 5% though. While we’re far from out of the woods yet, it does look like the current economic environment could push the European Central Bank to a smaller 50bp hike next month.
FED Powell speech: Powell's speech came across Neutral tonight. He confirmed a possible slow down in rate hikes but also reaffirmed the Feds commitment in reducing the inflation rate and doing whatever it takes to archive their 2% target.
To see a continuation of:
XAU/USD BUYS
US30 BUYS
GU BUYS
EU BUYS
Dollar weakness which started back in October/ November last year (2022)
We want to see a continuation of improving CPI data (Inflation). In other words, inflation needs to print lower.
We have to see a continuation of bad US economic data which will negatively impact the dollar.
All this plays into the market expectation psychology that the fed may pivot to avoid a possible Recession.
For The opposite to happen, we need to see bad CPI data. In other words, Inflation printing higher. (data to be released tomorrow). This will lead to Dollar (DXY) strength, weak Gold, weak GU,EU,US30.
XAU/USD BUYS
US30 BUYS
GU BUYS
EU BUYS
Dollar weakness which started back in October/ November last year (2022)
We want to see a continuation of improving CPI data (Inflation). In other words, inflation needs to print lower.
We have to see a continuation of bad US economic data which will negatively impact the dollar.
All this plays into the market expectation psychology that the fed may pivot to avoid a possible Recession.
For The opposite to happen, we need to see bad CPI data. In other words, Inflation printing higher. (data to be released tomorrow). This will lead to Dollar (DXY) strength, weak Gold, weak GU,EU,US30.
The Real A.F.I_FOREX CHANNEL📚💡👨💻📊📈
To see a continuation of: XAU/USD BUYS US30 BUYS GU BUYS EU BUYS Dollar weakness which started back in October/ November last year (2022) We want to see a continuation of improving CPI data (Inflation). In other words, inflation needs to print lower. We have…
We have seen the market play out as anticipated since the latest inflation data (CPI) was released last Thursday.📚💡📉📈
Monday has started with a pull back, grabbing some liquidity and looking for fair value to continue with 'Risk-On' trades. We still see relative dollar weakness for this trading week unless we have new fundamental data that may change the course of direction.
The Real A.F.I_FOREX CHANNEL📚💡👨💻📊📈
Monday has started with a pull back, grabbing some liquidity and looking for fair value to continue with 'Risk-On' trades. We still see relative dollar weakness for this trading week unless we have new fundamental data that may change the course of direction.
Dollar weakness as projected📚💡🙌🏽
The Real A.F.I_FOREX CHANNEL📚💡👨💻📊📈 pinned «😁Technical Thursdays is making a COMEBACK!»
(Bloomberg) -- US economists see higher odds that the Federal Reserve could re-accelerate the scale of its rate increases this month after Chair Jerome Powell spoke before Congress on Tuesday, with some emphasizing it will depend on the strength of incoming data.
Powell said in testimony before the Senate Banking Committee that the US central bank is likely to lift interest rates higher and potentially faster than previously anticipated.
“The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated,” Powell said. “If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes.”
Powell said in testimony before the Senate Banking Committee that the US central bank is likely to lift interest rates higher and potentially faster than previously anticipated.
“The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated,” Powell said. “If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes.”
⚠️The Power Of Fundamentals⚠️
On March 10, 2023, Silicon Valley Bank (SVB) failed after a bank run, marking the second-largest bank failure in United States history and the largest since the 2007–2008 financial crisis. It was one of three March 2023 United States bank failures. Gold is a hedge against such events and or any global uncertainty. We teach about this and much more 📚💡Learn.Trade. Earn!
On March 10, 2023, Silicon Valley Bank (SVB) failed after a bank run, marking the second-largest bank failure in United States history and the largest since the 2007–2008 financial crisis. It was one of three March 2023 United States bank failures. Gold is a hedge against such events and or any global uncertainty. We teach about this and much more 📚💡Learn.Trade. Earn!
Today is one of the most important days in the markets! Expect big moves on the charts. The fed's rate decision will definitely moves the markets.
Some are hoping the fed will keep the interest rate unchanged which will signal that the fed is concerned about economic stability. This will feed into the pivot hopes and will see a 'risk on' sentiment resurface ( Nasdaq⬆️SP500⬆️DOWJONES⬆️ ).
The Fed may likely stick to their hawkish policy in focus of price stability and employment and announce atleast a 25 basis point hike..
Some are hoping the fed will keep the interest rate unchanged which will signal that the fed is concerned about economic stability. This will feed into the pivot hopes and will see a 'risk on' sentiment resurface ( Nasdaq⬆️SP500⬆️DOWJONES⬆️ ).
The Fed may likely stick to their hawkish policy in focus of price stability and employment and announce atleast a 25 basis point hike..