Market movers today
* US monetary policy decision. We expect a very gradual start to QE tapering with only 10bn reduction in the monthly purchases. Apart from the FOMC decision on QE focus will be on economic projections for 2016, details of the statement (will the Fed change its rate forward guidance to include a lower threshold on inflation?) and Bernanke’s comments at the press conference. See Three dilemmas facing the Fed.
* Bank of England minutes. We expect the discussion about the need for further stimulus to diminish, as recent MPC members’ comments have indicated.
* We expect to see a small increase in US housing starts. US housing market data is currently scrutinised for indications on whether the recent increase in interest rates is dampening housing activity.
* In Denmark the report on the causes of the financial crisis will be presented and Danmarks Nationalbank is scheduled to publish its Q3 Monetary Review.
Read the full report: FX Daily
Danske Bank