- FED has replaced the "considerable time" stance with "patience" when referring to the timing of the first interest-rate increase.
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Preview: FOMC Minutes
Today the big risk event we faced is the release of FOMC Minutes from Dec 16 and 17 meeting when we could find more details on FED's interest rates timing and FED's view on the policy tightening. Don't expect much more from what we already know:
What To Expect For FOMC Minutes
Beside the fact that the main risk event for today is definitely the FOMC minutes we also have Mario Draghi speaking lately today. When it comes to the ECB there are different opinions in regards with what will trigger ECB QE. Some members see QE only in an "emergency situation" and others say "ready to take any actions that may prove necessary should downside risks further materialise" like Noyer.
When it comes to FOMC minutes I'm not expecting any market-moving comments coming from Yellen's sp…
When it comes to FOMC minutes I'm not expecting any market-moving comments coming from Yellen's sp…
Prepering the Week Ahead
The main risk event of the week ahead will be definitely the FOMC minutes. Previous meeting came out pretty much in line with market expectation with Yellen making the case that rates are going to stay low for a considerable time after QE ends in Q4. But lets not forget her comments from few months ago where she explicitly said that rates are going to go higher "6 months after QE ends" but this is just a standard talking from CB, this double talking makes the market not be skewed in just one si…