Fed's Daly: Most likely posture is a 75bp hike in July but a 100bp is possible

Ross J Burland FXStreet

San Francisco Federal Reserve Bank President Mary Daly on Wednesday that her most likely posture is a 75bp hike in July but a 100bp is possible she said as reported by the New York Times.

On Tuesday Daly said she believes the US economy will slow to below 2% annual growth as the Fed raises interest rates, but there's enough momentum that it won't stop growing.

"I do expect the unemployment rate to rise slightly, but nothing (like).... what people would think of as a recession," Daly said in an interview on LinkedIn.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD flirts with daily tops near 1.1650 ahead of Fed

EUR/USD manages to regain the smile on Wednesday, trading with decent gains around 1.1650, or daily peaks. The pair's daily advance comes in response to further losses in the US Dollar as market participants get ready for the upcoming FOMC gathering, where the Fed is widely expected to lower its interest rates by a quarter point.

GBP/USD advances to 1.3350 amid USD selling

GBP/USD sets aside two daily declines in a row and manages to regain some balance beyond the 1.3300 hurdle on Wednesday. The better tone around Cable follows the renewed downside bias in the Greenback ahead of the much awaited interest rate decision by the Federal Reserve.

Gold aims north ahead of Fed’s announcement

Gold is a touch softer on Wednesday, even with the US Dollar easing and US Treasury yields reversing part of their recent robust multi-day recovery. The yellow metal remains cautious ahead of the widely expected 25 bps rate cut from the Fed and the release of an updated "dots plot".