No new policy announcements expected at next week's FOMC meeting – TDS


Previewing the FOMC's November policy meeting, "we expect the Fed to make the QE program more accommodative by increasing the average maturity of purchases, but not yet," said TD Securities analysts.

Key quotes

"Fed officials have been emphasizing that the economy is still far from recovered, and risks are tilted to the downside, but the official data have continued to surprise on the upside side thus far. Against that backdrop, we don't expect any new policy announcements at next week's FOMC meeting, and changes to the wording of the statement are likely to be minimal, but potential changes to the QE program and associated guidance will likely be discussed."

"FX markets are more likely to be concerned with the aftermath of the US election than the Fed. FX vols in across the G7 suggest the market is expecting some kind of election risk premia/uncertainty to persist well beyond November 3rd."

"We think there is a greater risk of another residual USD short squeeze ahead of the key events. 1.1600/10 in EURUSD, 121.00/15 in EURJPY and 104 in USDJPY are the key lines in the stands we are watching to trigger possible USD extension risk."

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

USD/JPY ignores downbeat Tokyo CPI, trades mixed above 104.00

USD/JPY traders look for strong signals to break the chain of three-day declines. Tokyo CPI slipped below -0.6% forecast, core CPI matched -0.7% expected in November. Risks struggle amid US off, mixed news on vaccine, US-China front. A light calendar can extend the sideways moves.

USD/JPY News

AUD/USD: Fizzles upside momentum below 0.7400 but bears await clear signals

AUD/USD eases after refreshing the three-month top the previous day, downside have recently been confined though. Chatters surrounding US-China relations, virus woes probe risk-on but absence of the US traders, light calendar elsewhere, limits the moves.

AUD/USD News

Gold: Bears noting old support for a discount

The price of gold has broken into bearish territory below a 38.2% Fibonacci retracement. In the recent good news in markets, the price of the yellow metal has come under renewed pressure. Bears will seek a discount on a pullback to retest old support, expected to turn resistance. 

Gold news

WTI regains $45.00 even as choppy session limits the moves

WTI fades pullback moves from the highest in nine months. The energy benchmark eased from the multi-day high the previous day as global optimism, mainly fuelled through the coronavirus (COVID-19) vaccine hopes, fizzled. Also challenging the oil bulls was the US holiday due to Thanksgiving Day.

Oil News

Black Friday 2020 Discounts!

Learn to trade with the best! Don't miss the most experienced traders and speakers in FXStreet Premium webinars. Also if you are a Premium member you can get real-time FXS Signals and receive daily market analysis with the best forex insights!

More info

Forex MAJORS

Cryptocurrencies

Signatures