As a preliminary gauge of sentiment we saw that US equities closed once again higher ahead of the Fed’s FOMC latest policy communication. Asia is also currently in positive although initially there seemed to be some market caution ahead of the Fed.
The US Dollar tends towards the 101 levels on the US Dollar index as we approach the end of the Fed’s 2-day policy meeting, and the scheduled policy communication later today at 8pm CET. The Fed is widely expected to raise policy rates by 25bp to 0.75%.
The range on the US dollar index has been between 100.75:101.78 so far in the earlier part of this week, after rallying 4.85% since November. The USD/JPY is currently at 115.20 just off 10-month highs of 116.12 seen earlier this week.
Ahead of the FOMC communication we also have US Advance Retail Sales for the month of November, due at 1430CET. Actual figures are expected to have eased to 0.3% from a previous 0.8%.
