FOMC as expected - DXY might breakToday's Key Events 📊
JPY 🇯🇵Retail Sales m/m | 23:50 GMT
Forecast: -0.6%
Previous: -2.0%
USD 🇺🇸 GDP q/q | 13:30 GMT
Forecast: 25.8%
Previous: 33.4%
USD 🇺🇸 New Home Sales | 15:00 GMT
Forecast: 0.793 M
Previous: 0.841 M
Recap 27/01/2021
Yesterday's key event was the Federal Reserve's interest rate decision at 7pm GMT.
The Fed wrapped up its two day meeting and is expected to maintain its commitment towards ultra loose monetary policy. They kept interest rates unchanged at 0.25% for the US Dollar.
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The Fed is expected to continue to purchase Government Debt at $120 billion per month. This will help finance the US fiscal deficit spending from Biden’s new $1.9 Trillion stimulus package.
The central banks monetary policy strategy alongside the government fiscal policy should continue to push US equities (S&P500) higher as long as the vaccine rollout can be implemented aggressively across the U.S to support the markets economic growth expectations for 2021.
