The Federal Reserve committee announced today that there will be no change in interest rates.
We await the Chairwoman’s comments at 2:30 EST today, to hear if she will exhibit a dovish tone or a hawkish tone regarding futures rate changes.
Fed minutes chatter is the same as previous meetings, all decisions will be data dependent. Based on recent economic data they have no case to change rates.
The chairwomen’s comments can have just as much impact on the price of gold and all markets as a rate change, as she shares her thoughts and the thoughts of the FOMC in a few minutes.
The next FED meeting is scheduled for November 2, 2016.
Current odds of a rate hike in November after today’s announcement is set at 26 percent.
All this does is making December the true date for a rate change, if the data is compelling.
Enjoy the reminder of your day.
Disclaimer:This editorial has been prepared by Walter Pehowich of Dillon Gage Metals. This document is for information and thought-provoking purposes only and does not purport to predict or forecast actual results. It is not, and should not be regarded as investment advice or as a recommendation regarding any particular security, commodity or course of action. Opinions expressed herein are current opinions as of the date appearing in this editorial only and are subject to change without notice and cannot be attributable to Dillon Gage. Reasonable people may disagree about the opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. All investments entail risks. There is no guarantee that investment strategies will achieve the desired results under all market conditions and each investor should evaluate its ability to invest for a long term especially during periods of a market downturn. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. This information is provided with the understanding that with respect to the opinions provided herein, that you will make your own independent decision with respect to any course of action in connection herewith and as to whether such course of action is appropriate or proper based on your own judgment, and that you are capable of understanding and assessing the merits of a course of action. You may not rely on the statements contained herein. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisors with respect to these areas. By posting this editorial, you acknowledge, understand and accept this disclaimer.