FOMC on its way, expectations? - UOB

Analysts at UOB explained that Wednesday brings the highlight of the week with the FOMC just moments away.

Key Quotes:

"All eyes are on the Fed as it ends its two-day meeting on Wednesday. Expectations for a June interest rate hike by the Fed have waned following a lower-than-expected May nonfarm payroll number in recent weeks that cast doubts on the health of the US economy.

We think the FOMC will likely leave their growth, employment and inflation forecasts largely intact, making only cosmetic changes to the Summary of Economic Projections.

Yellen’s post-meeting press conference will also likely echo many of the themes of her speech last week, emphasizing the uncertainty associated with the Fed’s forecasts and the data-dependent nature of the path of monetary policy..."