Fed: Focus on the statement, 'dots' and Yellen's press conference – Danske Bank

Research Team at Danske Bank, suggests that in line with the market, they expect the FOMC to keep the Fed funds target range unchanged at 0.25-0.50% tonight.

Key Quotes

“Hence, focus will be on the statement, the so-called 'dots' and Yellen's press conference. We think the median 'dots' for this year and next will be unchanged, signalling two and four hikes, respectively. For the median 'dot' for this year to be lowered to one hike, eight FOMC members have to lower their 'dots' from two hikes and we think this is too many given many FOMC members (even doves) seemed ready to act this summer just before the jobs report. Of course, there will be focus on any comments on the UK EU referendum.”