Highlights
Oil prices and bond yields extending their declines and stocks are higher again on Tuesday as markets believe the ceasefire extension agreed by the US and Iran represents a start to a winding down of hostilities and will mean an extended reopening of the Strait of Hormuz.
With oil prices lower and inflation worries somewhat diminished, attention turns to the Federal Open Market Committee meeting under way in Washington, D.C. The apparently positive news on the Iran war has prompted markets to push back expectations for a rate increase deeper into 2027.
Results from the Fed policy meeting are due at 14:00 ET on Wednesday and new Fed Chair Kevin Warsh will hold his first press conference at 14:30 ET. No one expects any rate change but markets will focus on what the FOMC says about its policy bias in light of the inflation situation. There is much interest in the new dot plot and what it will show about the interest rate path. Also lots of interest in whether Warsh, who reportedly plans to dispense with the dots and other forward guidance, will choose not to submit his.
Definition
Market Focus details key factors in the coming day that will impact the economic outlook and the financial markets. These include central bank events, economic indicators, policymaker speeches as well as expected political and corporate developments.
Description
Keeping up-to-date with event schedules and the economic calendar is key to understanding the global financial system. Econoday's Market Focus allows investors and policymakers to carefully track what will be making news and moving the financial markets in the coming day.