020 7898 0500US President Donald Trump gave a speech to the UN yesterday in which he threatened that the US might have to totally destroy North Korea. It is unprecedented for a President to deliver a speech with such harrowing sentiments, but the markets didn’t really respond.
Although the sentiment has arguably increased geopolitical tensions once more, traders are braced for the Federal Reserve ( the “Fed”) meeting later today. Speaking of which, it is unexpected that US interest rates will rise this time around, but attention will be on whether there is an indication of a hike before the year is out and whether or not they lay out a time plan for reducing their programme of quantitative easing. Depending on the tone Fed Chair Janet Yellen strikes, we can expect some volatility in the greenback.
In addition to the Fed’s decision, we have the existing home sales data release, the FOMC’s economic predictions, followed by the Fed press conference.
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