Fed

Major central banks may further adjust monetary policy in 2025 as the European Central Bank (ECB) insists that ‘the disinflation process is well on track,’ but the Federal Reserve may change gears at a slower pace as Chairman Jerome Powell and Co. forecast less rate-cuts for next year.

EUR/USD has carved out a narrow range between 1.0470 and 1.0600 and unless the Fed delivers a meaningful surprise of some sort, that range may carry over.

The USD has remained supported on expectations of a considerably-less dovish Fed. But with 'Fed day' generally being bearish for the dollar alongside its tendency to selloff into the year end, I have an inkling we're heading towards a "buy the rumour, sell the fact" for the USD.

GBPUSD Forecast: the pound’s drop against the dollar’s rally was cushioned at the 1.2480 low, further supported by rate hold expectations given the inflationary risks of UK’s new labor law. However, today’s contracting GDP reading at -0.1% reflects growth concerns and adds complexities to next week’s BOE decision.

The Dow has managed to surpass the 44,000-point barrier and currently maintains steady growth of just over 7% since November.

The Fed is likely to cut interest rates by 25bps regardless of the CPI reading, though a hotter-than-expected print could certainly raise some questions for USD/CAD

The Fed is likely, but not certain, to cut interest rates by 25bps later this month, and a strong NFP report could reopen the door for close decision.

How a shift in trade policy, the extension of tax cuts, the appointment of Scott Bessent as Treasury Secretary, and potential threats to Federal Reserve independence could pave the way for a weaker greenback under Trump.

Learn how the Fed, ECB, and BOJ impact forex markets. Get answers to FAQs on interest rates, currency trends, and trading strategies in this must-read guide.

The USD bullish rally continued to rage after Powell bluntly said that the Fed may not be in a hurry to cut rates, citing a strong labour market and a "remarkably strong" economy.

Gold’s now testing its 100-day MA and the 14-day RSI is at its lowest level in a year, hinting at a near-term bounce.