The U.S. dollar will face a hard test as the markets await the last Federal Reserve meeting this year, amid worries about the deadline for a new round of tariffs on the horizon.
Expectations are the Fed meeting will be free of sudden decisions; therefore, the central bank is expected to keep interest rates unchanged at the current rate of 1.75%.
However, projections indicate that the main focus will be on the Fed's economic outlook report, which includes the individual forecast set for each Fed governor and each state President. It covers about two years and has great importance and strong impact on the markets.
The Fed meeting, including the interest statement and the economic outlook report, is scheduled for Wednesday at 7:00 pm GMT, followed by a press conference delivered by Fed President Jerome Powell.
The Fed’s meeting is
not the only event that seeks the investors’ attention, as they also putting in
consideration the possibility of signing phase-one of the trade deal between
the two largest economies before December 15, where a new round of U.S. tariffs
on Chinese goods becomes effective.