{"id":129286,"date":"2026-03-18T12:07:21","date_gmt":"2026-03-18T10:07:21","guid":{"rendered":"https:\/\/ironfx-com.wp-dev.int.theitops.net\/?p=129286"},"modified":"2026-03-18T12:07:23","modified_gmt":"2026-03-18T10:07:23","slug":"the-feds-decision-in-focus","status":"publish","type":"post","link":"https:\/\/www.ironfx-id.com\/en\/the-feds-decision-in-focus\/","title":{"rendered":"The Fed\u2019s decision in focus"},"content":{"rendered":"\n
The Fed\u2019s decision is in focus today, as traders and investors closely watch the central bank\u2019s interest rate announcement and forward guidance. <\/p>\n\n\n\n
Market participants are assessing how the decision could influence the U.S. dollar, forex pairs, and global equity markets, with expectations shaped by recent inflation trends, employment data, and oil price movements.<\/p>\n\n\n\n
Fed\u2019s interest rate decision in focus<\/strong><\/strong><\/h2>\n\n\n\n
Today we highlight the release of the Fed\u2019s interest rate decision in the late American session. <\/p>\n\n\n\n
The bank is widely expected to remain on hold which is also or base scenario, hence we turn our attention towards the bank\u2019s forward guidance which is to be included in the accompanying statement, the new dot plot, the bank\u2019s macroeconomic projections and Fed Chairman Powell\u2019s press conference. <\/p>\n\n\n\n
We may see expectations for resilience of inflationary pressures, given also the rise of oil prices, shifting the bank\u2019s tone increasingly towards the hawkish side which could provide support for the USD. On the flip side, the recent looseness of the US employment market tends to advise an easing of the bank\u2019s monetary policy.<\/p>\n\n\n\n
BoC also expected to remain on hold<\/strong><\/strong><\/h2>\n\n\n\n
Also in today\u2019s American session, we get from Canada, BoC\u2019s interest rate decision and the bank is expected to keep rates unchanged. <\/p>\n\n\n\n
We expect the bank to start adopting a more dovish tone in its forward guidance, as Canada\u2019s CPI rates slowed down, while the employment market seems to be quite loose,\u00a0 which in turn may weigh on the Loonie.<\/p>\n\n\n\n
BoJ to keep rates unchanged <\/strong><\/strong><\/h2>\n\n\n\n
In tomorrow\u2019s Asian session, we also note the release from Japan of BoJ\u2019s interest rate decision and the bank is expected to stand pat. We would not be surprised to see the bank in its forward guidance leaning on the hawkish side, yet the market grew relatively accustomed to such a tone. <\/p>\n\n\n\n
Nevertheless, such a scenario could still provide some support for the JPY, should the bank\u2019s hawkishness exceed the market\u2019s expectations.<\/p>\n\n\n\n
US equities on the rise <\/strong><\/strong><\/h2>\n\n\n\n
US equities were on the rise yesterday and during today\u2019s Asian session, in a signal of the market\u2019s confidence timidly resurfacing. Should we see the risk on approach of the market amplifying we may see US equities rising further. <\/p>\n\n\n\n
Also we note that a sufficiently hawkish approach by the Fed could weigh on US stock markets today. <\/p>\n\n\n\n
On other news, NVIDIA seems to have got Beijing\u2019s approval for exporting of certain chips in China, which could provide some support for its share price.\u00a0<\/p>\n\n\n\n
Other highlights for today<\/strong><\/h2>\n\n\n\n
In today\u2019s American session we get from the US, the PPI rates for February, the factory orders for January and the EIA oil figure and\u00a0 New Zealand\u2019s GDP rates for Q4 25. In tomorrow\u2019s Asian session, we get Australia\u2019s employment data for February.<\/p>\n\n\n\n
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