The latest Federal Open Market Committee policy update is scheduled for Oct 28 at 2 PM ET, and a press conference with Warsh will follow shortly after at 2:30. Current market forecasts suggest a ~90% probability that rates will be held steady in the 3.75-4.00% bracket. However, expectations for a rate increase this coming December remain quite high, sitting at a ~80% chance.
Turning to commodities, inflation sustained by the energy sector continues to be an issue despite a recent pullback in oil prices. Should the committee signal a resolute approach for December, history shows this generally boosts bond yields and strengthens the dollar. This dynamic typically creates downward pressure on gold, which is trading today at ~$4K.
Turning to commodities, inflation sustained by the energy sector continues to be an issue despite a recent pullback in oil prices. Should the committee signal a resolute approach for December, history shows this generally boosts bond yields and strengthens the dollar. This dynamic typically creates downward pressure on gold, which is trading today at ~$4K.
