FOMC meeting: main event of the week
07.08.2014
All the investors’ main focus turns to the Wednesday’s Fed June
meeting, amid the absence of major important economic data releases for this
week.
During
the last week, strong US
employment data has pushed the dollar high, as nonfarm payrolls added 288.000 new jobs during the last month, while the
unemployment rate fell to 6.1 %, which was
the lowest level since nearly 6 years. Accordingly the US stocks advanced significantly
including the Dow jones , while the greenback extended gains amid growing
speculations that the FOMC may decide to hike the interest rates ever before
market expectations.
On
Monday, the market witnessed a quiet trading as the investors returned from
July 4th Independence
holiday. And the Fed meeting remains in focus.
Furthermore,
today the US Dollar remained steady against its major currencies ahead of the
outcomes of the FOMC monetary policy meeting, Janet Yellen speech and the Fed
decisions concerning the monthly bonds buying program as well as the interest
rates.
On
the other hand, Gold prices were under pressure amid fears of possible hike of
the interest rates supported by the recent improvement of the US economy.
