Federal Reserve FOMC preview (quick one, spoiler is to expect very little)
The Fed's Federal Open Market Committee meet Tuesday and Wednesday this week.
- there will be no fresh Summary of Economic Projections issued at this meeting.
- Fed Chair Powell will follow the FOMC statement with a press conference
- FOMC statement due at 1800 GMT on Wednesday 28 July 2021
- Powell presser commences at 1830 GMT
We expect little news from the Fed this week:
- a repeat of the 'taper is some ways off' language from Powell's mid-July Congressional testimony and possibly an indication that the Fed will be able to assess in the coming meetings whether the economy is 'on track' to achieve the taper threshold.
UBS add that implied pricing in the options market for the meeting is roughly in line with the past 12 meetings ... that is a SPX move of +/-0.9%.
No dots at this meeting :-(