Forex Today; What You Need To Know For October 31, 2019

October 31, 2019 by  
Filed under Forex Tips

Happy Halloween

In a very anit climactic announcement the US FMOC announced a .25% rate cut in its over night lending rate. While this was widely expected and already priced into the market, the words in the announcement caused alarm and weaked the dollar accross the board. The US Fed did not indicate continued easing which alarmed traders. Most traders are expecting a worldwide recession soon. This change in the wording regarding any future rate cuts gave the impression the the US Fed was out of touch with the markets and world events.

In addition to the Fed news, the dollar was also under on US/China trade news. The Dillar was lower against the safe-haven yen by the news that Chile has withdrawn as host of an APEC summit in November where the U.S. and China had been expected to take major steps towards resolving their protracted trade war. The Chinese also stated that they did not see a negociated settlement coming yet. All of this was very disappointing after all of the talk from US President Trump.

The Bank of Japan kept its monetary policy steady on Thursday. However, they did introduced new forward guidance to more clearly signal the future chance of a rate cut. This is underlining its concern over global economic risks.

The British Pound was higher on the news Parliment agreed to General Elections in December.

We look at what is happening in Chile with a heavy heart. We hope for the safety of all protestors and pray their goverment will listen instead of shoot.

Comments

One Response to “Forex Today; What You Need To Know For October 31, 2019”
  1. buena publicacion, interesante

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