Much of the focus in the US will be on the Federal Reserve’s FOMC’s interest rate decision and statement on Wednesday. It is expected that we will see a repeat of last year’s action and interest rates will be increased by 0.25%.
Any indication of future rate hikes is likely to move the dollar, as is the ‘dot plot’, the Federal Reserve members’ interest rate chart which projects future increases into 2017.
In addition to the Federal Reserve meeting, there are a few other events of note in the US this week. On Tuesday, import prices are released and on Wednesday we have the release of retail sales and factory level inflation figures.
The headline inflation level is due out on Thursday as well as jobless claims and Philly Fed manufacturing data. Finishing off the week on Friday are building permits and housing starts.
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