Archive for November 2nd, 2022

Central Bank Watch

Comment on FOMC Statement and Powell’s Press Conference

November 2, 2022

The opening two paragraphs describing U.S. growth and inflation, the impact of Russia war on such, and the prioritization of the Fed’s two mandates are unrevised. Paragraph 3 confirms that the federal funds rate target range is indeed rising 75 basis points to 3.75-4.0% in line with earlier rhetorical guidance. The committee agreed also to […] More

Central Bank Watch

FOMC Review

November 2, 2022

The federal funds rate target was raised by three full percentage points in the span of a just a half year. Another hike of 75 basis points is widely expected today, yet the 10-year Treasury yield of 4.03% is only 184 basis points above the level when the first rate hike was engineered last March […] More

New Overnight Developments Abroad - Daily Update

Marking Time Ahead of Powell’s Press Conference and Amid Whiffs of Possible Change

November 2, 2022

Another 75-basis point Federal Reserve interest rate hike appears highly likely today and is discounted in the marketplace. Investors are focused on how monetary policy will evolve afterward, as hints of smaller increases from December have been floated. The Fed announcement arrives at 18:00 GMT, but a macroeconomic forecast update isn’t scheduled until next month’s […] More

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