Federal Reserve Chair Jerome Powell is under mounting pressure from President Donald Trump to begin cutting interest rates.
Markets and analysts overwhelmingly expect the Fed to hold rates steady this Wednesday.
But what if the political heat is becoming too much to bear, and Powell and the Fed board advocate for a cut this week? Some Fed governors, Chris Waller and Michelle Bowman, have already signaled support for an early cut.
FX pairs to watch
USD/JPY:
This pair remains highly sensitive to yield differentials and broader risk sentiment. However, any hawkish resistance or emphasis on data dependency may keep the pair supported, especially if risk appetite holds.
EUR/USD:
The euro has shown relative strength in recent sessions, but the pair has been hit by the announcement of the trade deal struck between the EU and US. If the Fed clearly signals it's not ready to ease, the USD could regain even ground.
Markets and analysts overwhelmingly expect the Fed to hold rates steady this Wednesday.
But what if the political heat is becoming too much to bear, and Powell and the Fed board advocate for a cut this week? Some Fed governors, Chris Waller and Michelle Bowman, have already signaled support for an early cut.
FX pairs to watch
USD/JPY:
This pair remains highly sensitive to yield differentials and broader risk sentiment. However, any hawkish resistance or emphasis on data dependency may keep the pair supported, especially if risk appetite holds.
EUR/USD:
The euro has shown relative strength in recent sessions, but the pair has been hit by the announcement of the trade deal struck between the EU and US. If the Fed clearly signals it's not ready to ease, the USD could regain even ground.
Economic Calendar:
blackbull.com/en/economic-calendar/?utm_source=tradingview
Free TradingView Premium:
blackbull.com/en/platforms/tradingview/?utm_source=tradingview
blackbull.com/en/economic-calendar/?utm_source=tradingview
Free TradingView Premium:
blackbull.com/en/platforms/tradingview/?utm_source=tradingview
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Economic Calendar:
blackbull.com/en/economic-calendar/?utm_source=tradingview
Free TradingView Premium:
blackbull.com/en/platforms/tradingview/?utm_source=tradingview
blackbull.com/en/economic-calendar/?utm_source=tradingview
Free TradingView Premium:
blackbull.com/en/platforms/tradingview/?utm_source=tradingview
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.