Investors gear up for the Fed’s interest rate decision

USD

Yesterday was a relatively quiet day for markets as investors gear up for tomorrow’s Federal Reserve meeting and rate decision. An increase of 75 basis points is the expected move but should the decision deviate from this number, we should expect volatility.

EUR

Yesterday’s main headlines largely surrounded the euro as Russia confirmed there would be further cuts to gas supplies moving forward. This comes just days after the pipeline Nord Stream 1 was turned back on following a maintenance period. The pipeline will now run at 20% of its full capacity meaning Europe could potentially not have enough gas reserves to brave the winter months. Understandably, it is a real concern moving forward and a story to keep a close eye on.

There is no key data out today so expect the market to move based on news headlines.

Key announcements

15:00 – USD – CB Consumer Confidence (expected 97.3 vs 98.7)