Skip to content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
Oil - US Crude
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Dow Jones Price Resilient After FOMC Rate Decision, Updated Rate Projections

Dow Jones Price Resilient After FOMC Rate Decision, Updated Rate Projections

Thomas Westwater, Analyst

Federal Reserve, FOMC, Dow Jones, Dot Plot – Talking Points

  • Federal Reserve keeps rates unchanged, as expected
  • US equity market moves higher on updated SEP
  • Rate projections through the dot-plot shift forward
  • Traders look to Fed Chair Powell’s press conference
Trading Forex News: The Strategy
Trading Forex News: The Strategy
Recommended by Thomas Westwater
Trading Forex News: The Strategy
Get My Guide

The Dow Jones Industrial Average (DJIA), along with other benchmark equity indexes, tracked higher after the Federal Reserve kept interest rates unchanged on Wednesday. US stock futures caught a bid overnight after China’s Evergrande Group announced that it would make coupon payments this week. The potential credit crisis was a major risk factor going into today’s FOMC decision.

A step towards tapering balance sheet purchases materialized in today’s policy statement, with the language "may soon be warranted." Federal Reserve Chair Jerome Powell has made clear that clear and advance notice will be given before any taper announcement. Mr. Powell may provide further guidance in his press conference due to kick off at 18:30 GMT. Since June 2020, the Federal Reserve has added $120 billion a month in mortgage-backed securities and Treasuries. Tapering balance sheet growth is seen as a prelude to hiking interest rates.

The new Summary of Economic Projections (SEP) – which lays out members’ economic and rate projections – shows a more optimistic outlook relative to June’s SEP. This includes the dot-plot, which includes fresh projections for 2024. Two members shifted their rate increase projections forward, bringing the expectations for a rate hike in 2022 to nine members from seven. The median projection for a hike remains set for 2023, however. The 2022 PCE inflation forecast lifted from 2.1% to 2.2%

fed dot plot


Top Trading Lessons
Top Trading Lessons
Recommended by Thomas Westwater
Top Trading Lessons
Get My Guide

--- Written by Thomas Westwater, Analyst for

To contact Thomas, use the comments section below or @FxWestwater on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.