Fed September News Today

Central bank rate cuts forecast via Capital Economics

USD momentum for now doesn’t look that convincing. A break below the 1.045 short‐term low apparently isn’t that easy. Later this week the focus is on the Minutes of the Fed September meeting (Wednesday) and the US CPI release (Thursday; 0.3% M/M expected both for core and headline). Also keep an eye at the US Treasury selling 3‐,10‐ & 30‐y bonds as US yields are holding close to the cycle peak levels.

The gains in gasoline prices place the nations central bank on alert for a resumption of inflation, making the September interest rate hike a hawkish rather than a dovish pause.

In the US, ADP private job growth slowed lightly more than expected to 177k. Last month’s impressive 324k growth was revised even higher to 371k, suggesting a still healthy US job market this summer.

Comments from the Chicago Fed President

GBP/USD lost its recovery momentum after reaching the highest level in three weeks near 1.1500, in the face of the US dollar upswing and UK political

Diminuisce più delle attese lattività del settore manifatturiero nellarea di Philadelphia negli Stati Uniti.

JPMorgan forecasts that US CPI year-over-year inflation will fall from its recent peak of above 8% to just 3% by July 2023.

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<li><span>S&P 500, DOW and NASDAQ 100 all in bullish zone for first time in 12 months</span></li>
<li><span>Heaviest trading came ahead of Fed September meeting</span></li>
<li><span>Record 77.8 million securitised derivatives were traded on Spectrum last month</span></li>
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