Today’s Federal Meeting Expectations: The monetary policy meeting of the U.S. Federal Reserve officials is expected to occur today,
Wednesday, with a new statement and comments from Federal Reserve Chairman Jerome Powell.
Content:
Continuing decline in oil prices
Federal meeting expectations today
Continuing decline in oil prices
Oil prices fell for the third consecutive day on Wednesday,
due to an increase in U.S. crude inventories and oil production,
the world’s largest oil consumer, in addition to growing hopes for a ceasefire agreement in the Middle East.
Brent crude futures for July delivery fell by 47 cents, or 0.5 percent, to $85.86 per barrel.
West Texas Intermediate crude futures for June delivery also fell by 53 cents, or 0.6 percent, to $81.40 per barrel.
According to the American Petroleum Institute on Tuesday, U.S. crude oil inventories increased by 4.906 million barrels,
while gasoline and distillate stocks decreased.
Federal Meeting Expectations Today
It is expected that the monetary policy meeting of the U.S. Federal Reserve officials will take place today, Wednesday,
with a new statement and comments from Federal Reserve Chairman Jerome Powell.
These statements might provide clearer signals regarding the impact of recent disappointing
inflation data on this year’s interest rate cut expectations.
Meanwhile, the Federal Reserve will likely maintain the current interest rate,
with investors expecting nearly 100% for this to occur.
After the interest rate decision, Jerome Powell will hold a press conference half an hour later,
which is likely to provide a clearer view of the impact of three months of disappointing inflation data
—if any—on the likelihood of interest rate cuts in the near future.
Drop in Gold Prices
Global gold prices have fallen during current trading on Wednesday, reaching their lowest levels in about a month,
as investors await the Federal Reserve’s interest rate decision,
which could provide more signals about the timeline for interest rate cuts.
Bullion prices fell by over $140 after reaching a record level of $2431.29 on April 12.
Inflation readings have not shown any progress so far in 2024,
and the Federal Reserve will have to downplay expectations and focus more on a stricter message,
while the gold market still rules that out.
Today’s Federal Meeting Expectations