Weekly Trading Forecast: FOMC Promises Year-End Fireworks
A final burst of volatility may bookend a tumultuous year for the financial markets as the Fed delivers a much-anticipated policy announcement.
A critical US Federal Reserve meeting in the week ahead will likely determine whether the USD/JPY can hit further highs before the year is through.
Key developments coming out of the U.K. & U.S. are likely to spark increased volatility in GBP/USD as the Federal Open Market Committee (FOMC) is widely anticipated to raise the benchmark interest rate ahead of 2017.
The Canadian Dollar is ending the week of December 9 atop the podium of G10 FX. When you look at the start of the week or even against a few weeks ago, there is a stirring of optimism surrounding the Canadian Dollar.
The Australian Dollar seems to ride the waves like a Bondi surfer. Despite some wobbles it’s likely to continue to do so, at least until the RBA sees the color of the Fed’s money.
Earlier in the week, the world was caught by a bit of a surprise with the announcement of the resignation of New Zealand Prime Minister, John Key. Mr. Key was unique in his role as a political leader, as he has considerable financial market experience after his tenure as an FX Dealer at Merrill Lynch.
Both the offshore and onshore Yuan resumed descent against the U.S. Dollar this week. The USD/CNH tested a major resistance level of 6.9354 (361.8% extension of the previous major move), though failed to break the level. The USD/CNY climbed above 6.8900, the 2008 high.
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