DXY won’t go away.
AUD pumped and dumped. Still running on the spot.
CNY up!
Gold and oil yuck.
AI metals don’t care.
RIO going parabolic.
EM wants ATH, Tough with DXY.
Junk rejection is a warning.
As yields jackknifed on a not dovish enough Fed.
AI doesn’t care.
The Fed is confused.
In support of its goals and in light of the shift in the balance of risks, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 3-3/4 to 4 percent. In considering additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee decided to conclude the reduction of its aggregate securities holdings on December 1. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 percent objective.
In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee’s goals. The Committee’s assessments will take into account a wide range of information, including readings on labor market conditions, inflation pressures and inflation expectations, and financial and international developments.
Voting for the monetary policy action were Jerome H. Powell, Chair; John C. Williams, Vice Chair; Michael S. Barr; Michelle W. Bowman; Susan M. Collins; Lisa D. Cook; Austan D. Goolsbee; Philip N. Jefferson; Alberto G. Musalem; and Christopher J. Waller. Voting against this action were Stephen I. Miran, who preferred to lower the target range for the federal funds rate by 1/2 percentage point at this meeting, and Jeffrey R. Schmid, who preferred no change to the target range for the federal funds rate at this meeting.
Abstentions both ways are rare. Jay Powell put the cat amogst the pidgeons.
“A further reduction in the policy rate at the December meeting is not a foregone conclusion, far from it,” Powell said in the opening comments of his post-meeting press conference.
Apparently, markets were “rattled,” but the NASDAQ still climbed 0.6%. Everybody has lost their minds.
AI is rampaging as data centre buildout ramps up.
As said many times, were I the Fed, I would not be cutting. Enter The Donald and a gold bottom?
AUD to continue some kind of slow grind higher.
