{"id":130106,"date":"2026-04-29T11:59:27","date_gmt":"2026-04-29T08:59:27","guid":{"rendered":"https:\/\/ironfx-com.wp-dev.int.theitops.net\/?p=130106"},"modified":"2026-04-29T12:00:59","modified_gmt":"2026-04-29T09:00:59","slug":"feds-interest-rate-decision-could-shake-the-markets","status":"publish","type":"post","link":"https:\/\/www.smartchinaeducation.com\/zh\/feds-interest-rate-decision-could-shake-the-markets\/","title":{"rendered":"Fed\u2019s interest rate decision could shake the markets"},"content":{"rendered":"
Markets saw the USD strengthen yesterday as investors brace for the Fed\u2019s interest rate decision could shake the markets today. <\/p>\n\n\n\n
While the central bank is widely expected to keep rates unchanged, traders will closely watch the Fed\u2019s forward guidance and Powell\u2019s press conference, which could spark strong volatility across USD pairs, gold, and US stock markets.<\/p>\n\n\n\n
Powell\u2019s last interest rate decision<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/h2>\n\n\n\n
The USD was on the rise yesterday, and we highlight the Fed\u2019s interest rate decision today. The bank is widely expected to keep rates unchanged, and market attention is expected to be placed on its forward guidance. <\/p>\n\n\n\n
Should the bank opt to maintain a hawkish tone, we may see the USD gaining, while gold\u2019s price and US stock markets may lose ground. <\/p>\n\n\n\n
Please note that it\u2019s to be Powell\u2019s last interest rate decision as Fed Chair and thus the market may place increasing attention on his press conference.<\/p>\n\n\n\n
BoC\u2019s also expected to remain on hold<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/h2>\n\n\n\n
Also north of the US border, Bank of Canada is expected to remain on hold today. <\/p>\n\n\n\n
Market attention is expected to be placed on BoC\u2019s forward guidance as there are concerns among its policymakers for the possible impact of the high oil prices. Should the bank sound hawkish in its forward guidance we may see the Loonie getting some support today.<\/p>\n\n\n\n
Oil prices gain as market worries intensify<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/h2>\n\n\n\n
Oil prices continued to rise yesterday and during today\u2019s Asian session as market worries\u00a0 for the US-Iran conflict were enhanced.<\/p>\n\n\n\n
There seems to be no resolution to the conflict which implies that the supply chains of the international oil market are to remain strained, possibly for a longer period. <\/p>\n\n\n\n
A small relief for oil prices, may be that UAE are to exit OPEC and may be in the process of increasing oil production.<\/p>\n\n\n\n
US stock markets focus on tech shares<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/h2>\n\n\n\n
US stock markets corrected lower yesterday and today we highlight the release of earnings reports of Meta, Alphabet, Microsoft and Amazon in today\u2019s aftermarket hours. Should the earnings reports show beyond market expectations growth in revenue and earnings and at the same time should the release be accompanied by a confident forward guidance, we may see their share prices rise and a more confident market sentiment emerging.<\/p>\n\n\n\n
Today we get Germany\u2019s preliminary HICP Rates for April, the US durable goods rate for March, the US number of house starts and building permits also for March, EIA\u2019s crude oil inventories figure for the week. In tomorrow\u2019s Asian session, we get Japan\u2019s preliminary industrial output for March and from China the NBS and Rating Dog Manufacturing PMI figures for April.<\/p>\n\n\n\n
The pair\u2019s price action remained within the boundaries set by the R1 and the S1 thus we maintain our bias for a sideways motion of the pair. Yet we warn that the pair is to be hit by a double whammy today, and could thus alter its direction. <\/p>\n\n\n\n
Should the bulls take over, we may see\u00a0 USD\/CAD breaking the 1.3720 (R1) line and start aiming for the 1.3880 (R2) resistance hurdle. On the flip side should the bears be in the driver\u2019s seat, we may see USD\/CAD breaking the 1.3550 (S1) support line and starting to aim the 1.3420 (S2) support level.<\/p>\n\n\n\n
US 100<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/h3>\n\n\n\n
US 100<\/strong> corrected lower after approaching the 27500 (R1) resistance line. The index\u2019s price action in its downward motion broke the upward trendline guiding it, as warned in yesterday\u2019s report.<\/a> <\/p>\n\n\n\n
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