Richard Perry
Independent Analyst
A look at how central banks use monetary policy to help manage the economy. What is monetary policy and why is it so important? Markets can be significantly impacted by changes to monetary policy, but why is this and how does it impact on forex markets, bonds and also equities? Furthermore, there are other ways that central banks can impact on markets and these need to also be considered when how their actions can influence your trading. The market reaction on EUR/USD to the recent December 2015 ECB meeting is a prime example of how markets can move around monetary policy announcements.
Richard Perry, market analyst at Hantec, discusses why monetary policy impacts on the markets you are trading and why you need to be aware.
He takes you through the actions of central banks and how they impact across various asset classes. Richard also does a live technical market analysis of major forex pairs, indices and commodities.
Come daily to Live Video TV Channel and chat with experts and traders.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
EUR/USD extends gains above 1.0700 on Powell’s presser
The selling bias in the Greenback gathers extra pace as Powell’s press conference is under way, lifting EUR/USD to daily tops past the 1.0700 hurdle.
GBP/USD rises above 1.2500 on weaker Dollar
The resumption of the upward pressure sends GBP/USD back above 1.2500 the figure in response to increasing selling pressure hurting the Greenback.
Gold surpasses $2,300 as Dollar tumbles
The precious metal maintains its constructive stance and trespasses the $2,300 region on Wednesday after the Federal Reserve left its FFTR intact, matching market expectations.
A new stage of Bitcoin's decline
Bitcoin's closing price on Tuesday became the lowest since late February, confirming the downward trend and falling under March and April support and the psychologically important round level.
The market welcomes the Fed's statement
The market has welcomed the Fed statement, and the S&P 500 is higher in its aftermath, the dollar is lower and Treasury yields are falling. There is still only one cut priced in by the Fed.