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All Eyes on January’s Fed FOMC Minutes to be Released at 2PM ET
Published February 21, 2018
USD continues to gain strength ahead of the release of the minutes of January’s FOMC meeting. Investors will pore over the minutes hoping to find clues about the future rate path in the US, and perhaps some clarity around what “further gradual adjustments” actually means.
Expectations are for 3 rate hikes by the Fed in 2018, though recent stronger than expected inflation data has caused some observers to suggest we may see 4 hikes in 2018. That said, this morning the president of the Philadelphia Federal Reserve Bank, Patrick Harker, said he still thinks two interest-rate hikes this year is “likely appropriate,” but is is open to more if required.
The Federal Reserve is widely expected to raise interest rates next month, which would be the first increase this year. The first of how many, however, is very much open for debate.
Oil prices are down again this morning ahead of inventory data being released later today and tomorrow. Fears that continually increasing US production could hinder efforts to reduce a global supply glut seems to have capped increases in oil prices of late. WTI crude is down 0.57% to $61.44 with Brent crude down 0.28% to $65.07, at the time of writing.