Market expectations are for the US Fed to hike interest rates later 13 Dec

US Fed FOMC make their their long-awaited decision at 19.00 GMT and the odds/consensus are for a 0.25% hike. I think, like the BOE they've talked themselves into an unwanted hole.

In the UK inflation is an issue but in the US ( and EZ) the lack of it is a concern still and that's why I don't assume they'll hike later even if likely. The Fed haven't exactly stuck to their promises in the past 2 years on hikes/. Wages growth also wobbly so any hike impact on the consumer is not a positive one.

The other question we must consider at is how much this long-heralded hike may be factored in to markets. Surely a lot of it by now eh? The unknowns lay in any statement/rhetoric but don't forget we have SNB, BOE and ECB tomorrow and that rate hikes aren't the only game in town right now or in the forthcoming months/years.

We can, as always, expect the initial algo-led reaction to the data shortly however the report plays out so be ready with your entry/exit levels from whichever side you want to play.

Placing limit orders in advance can often be useful given the occasional speed of moves and subsequent reversals, although equally it can be prudent to wait and manually trigger executions once you've sized up the data in its entirety and gauged the price action.

So there we have it. As ever try and keep it simple. Ours is not to reason why. Ours is just to sell and buy ( or the other way round if the cap fits!)

Good trading everyone.

Yellen and the FOMC set for another rate hike journey higher today ?