Last night’s meeting minutes from the Federal Reserve confirmed what many investors already thought. Essentially, the world’s largest central bank will take their foot off the gas in respect to forthcoming interest rate hikes. We likely see a 0.50% move in December and from that point the Fed will use economic data to guide their decisions.
Market reaction last night was as expected. The slightly dovish outcome saw a continuation of the day’s moves which saw the greenback weaken and stocks march higher. The pound has established itself above the $1.20 level again regardless of the issues the UK economy is currently facing.
With the US off for Thanksgiving now it’s likely price action will be reduced until next week.
Written by Viv Savani. 8:06am, November 24th 2022
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