Following the U.S. Federal Reserve’s (Fed) announcement, please see below for market views from the Global Fixed Income, Currency & Commodities Team (GFICC):
Consistent with our and the market’s expectations, the Federal Open Market Committee (the FOMC) left the Fed Funds rate unchanged, at 0.50%‐0.75%. The Feds’ only means of communication at this meeting was the typical FOMC Statement.
The Statement continues to strike an optimistic tone on the economy, but provided no commitment for the future timing of rate hikes.
We can break the Committee’s statement into three parts: