APAC market quiet ahead of the Fed

[HONG KONG] Asian investors on Wednesday struggled to track a record close on Wall Street as they await the Federal Reserve’s latest policy meeting hoping for a guide on its plans for monetary policy.

The central bank is all but certain to lift interest rates after its meeting ends later in the day but the main focus will be on chair Janet Yellen’s comments afterwards.

Some analysts suggest the rise could be the Fed’s last this year as traders fret over tepid inflation and the future of Donald Trump’s big-spending, tax-cutting agenda. Hopes for those policies had fuelled expectations of a surge in prices – and a jump in borrowing costs – but is now in trouble as the tycoon in enveloped in political crises.

“With the rate hike now 96 percent priced in focus will fall on the Fed’s forward guidance and importantly their views surrounding low inflation,” Stephen Innes, senior trader at Oanda, said in a note.

AFP

The Business Times

 

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Stephen Innes

Stephen Innes

Senior Currency Trader and Analyst at OANDA
Stephen has over 25 years of experience in the financial markets and specializes in Asian currencies at OANDA. After having started his trading career with NatWest Bank, he is currently based in Singapore as a Senior Currency Trader and Analyst with OANDA, focusing on the movement of the Aussie Dollar and ASEAN Currencies. Stephen has an extensive trading experience in Interest Rate Futures, Money Markets and Precious Metals. Prior to joining OANDA, he worked with organizations like Cambridge Mercantile, Nat West, Garvin Guy Butler, Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes
Stephen Innes

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