U.S Dollar Faces Further Downside Pressure On FOMC Meeting !

USA J
USA J

Recap : On the last meeting minutes, the Federal Reserve said that it expected the U.S economy to recover a bit in next winter , it also said : the chance remains open for a rate hike in next June , the Fed also hinted about the possibility of holding rare hike till next September ..

What happened next ?!!!

The U.S dollar fell !!!!

What to expect from FOMC meeting on next Wednesday !!!

I think we have 2 scenarios :

1- The Fed will use the same language as before, in other words,It will leave things the way they are !!! how !! It will keep talking  about expanding in the future….etc ….. ,If the Fed uses this language in its statement (most likely it will) the dollar will be under heavy pressure and most likely will continue falling !!!!

2-If the Fed makes Immediate changes or decisions (sounds unlikely) , especially related to rate hike, If this scenario happens , the dollar may recover !!!!

I think scenario #1 is more likely, the Fed won’t make any changes , and the U.S dollar will remain under pressure , anyway, stay tuned for updates next Wednesday !!!

MARKET DATA

UPCOMING ECONOMIC EVENTS