Showing posts from September, 2020

FOMC Announcement this Week: key for Q4 Markets

Highlights that will move the stock markets this week:
- The Fed meets on Wednesday for the final time before the Nov. 3 presidential election with investors hoping to learn more about its decision to tolerate higher inflation. 
The Fed’s decision to tolerate periods of higher inflation effectively means that interest rates will remain lower for longer. Meanwhile, the Bank of England and the Bank of Japan will both hold policy meetings just hours after the Fed on Thursday.

- Markets will also be paying close attention to data on U.S. Retail Sales for August, out on Wednesday, and initial jobless claims figures on Thursday.  The number of new claims for unemployment benefits hovered at elevated levels last week, suggesting the labor market recovery from the COVID-19 pandemic was stalling as government financial aid to businesses and the unemployed dries up.
- Last week’s volatility in stocks could continue with a much-awaited fiscal aid package stalled in the Senate and the election l…