Investors are awaiting the minutes of the last meeting of the Federal Reserve Board, set for release later today at 11:00 PM GST, to assess the vision of the members of the Federal Reserve Committee on economic conditions and the prospects for monetary policy.
This event extensively covers the factors that influenced the Fed’s interest rate decision, as well as expectations related to economic growth and inflation rates. Thus, the minutes are an important tool for future monetary policy prospects.
After a year of continuous tightening, in which the Federal Reserve raised interest rates to levels of 4.75%, investors are anticipating the risks of continuing high interest rates for a longer period than the markets expect, as well as fears of exceeding the final interest rate ceiling at 5% levels, as indicated by the expectations of most major financial institutions.
These minutes are scheduled 8 times a year and are published 3 weeks after the Fed’s announced interest rate decision. Therefore, it is expected that fluctuations will occur in the financial markets coinciding with the issuance of the minutes. It is important to remember that traders have different ideas and convictions in the way they interpret the information released and prices cannot move 100% according to that information.
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