In the NY market after this, the result of the US FOMC meeting, which is attracting attention, will be announced. Raising the policy interest rate by 0.5% has already been factored into the market. At the next meeting, some are expected to raise interest rates by 0.75%. Note the view of Chair Powell on this point.
Also, it is expected that the balance sheet reduction will be announced. The agenda of the previous meeting suggested a reduction of $ 95 billion per month. If measures with a strong message, such as the sale of bonds, are shown regarding the method of reduction, it is possible that the hawkish stance may have become stronger.
The dollar has continued to rise in the market, and will profit-taking sales be made once after passing this event? Will the dollar strengthen further depending on the content? It is an event that attracts a lot of attention from the market. The announcement will be made at 3:00 am on the 5th of Japan time, and the press conference by Chair Powell will be held at 3:30 am.
A stalemate ahead of the FOMC. Regarding the USD, we are waiting for a wait-and-see attitude today.