I think there is nothing the Fed can do that will please markets tonight … they are stoiked by high and rising inflation and negative real interest rates … they have a tough gig announcing guidance now as to how to get inflation and interest rates where current circumstances tell them they need to be at the end of 2024.
DOW futures are currently +404 and 5 European markets are up an average DOW equivalent of +750 … markets are recognised as not a level playing field for retail and institutional investors … a sceptic would say tonight markets will be driven as high as possible ahead of the Fed announcement and press conference at 2.00pm and 2.30pm in NY so as to limit the post Fed/Powell fall to a bearable close.
Assuming the Fed will simply reaffirm December commitment to taper and to begin interest rate rises in March and will add a key word or two for markets to ruminate on … hence pinning for a small -ve close.
Jan 2022 … a month for pinners to remember imo.
Good luck to everyone tonight … a big welcome to @ByCon … and wishing @zero2a$mill a speedy recovery from whatever happened today so he can get the knee op as planned.
