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FxWirePro- Central Bank Bonanza

Dec 13th, 2023, FOMC statement (7:00 pm GMT)

 

Dec 14th, 2023, SNB monetary policy  (8:30 am GMT)

                            

    ECB monetary policy statement  (1:15 pm GMT)

                         

    BOE  Monetary policy (12:00 pm GMT)

 

FOMC-

 

The Federal Reserve expected to keep policy rates on hold. The main things to watch out for are US Fed updated economic projections and new dot plots. Markets anticipate a 25 bpbs rate cut by Fed in Mar due to easing US inflation.   

 

Levels to watch- US dollar index

Major resistance- 104.35,105

 

Major support- 103.25,102.40

 

ECB -

 

ECB anticipated to keep rates unchanged and rule out any further rate hikes in the near term. Markets predict an aggressive six-quarter rate cut in 2024and any dovish comments from the ECB chairman will drag EURUSD lower to 1.0660.

 

Major resistance- 1.0820,1.0900

 

Major support- 1.0720,1.0660

 

 

Swiss National Bank (SNB)-

 

Swiss National Bank will keep borrowing costs steady at 1.75%. According to UBS Group AG economist, SNB expected to cut rates from June 2023 as inflation slowed drastically in Nov 2023.

 

Major resistance- 0.8865,0.8900

 

Major support- 0.8660,0.8600

 

Bank of England (BOE)

 

BOE to keep rates unchanged at 5.25% with the vote split to be 6-3. Markets anticipate an 80 bpbs rate cut in 2024  with the first cut in August.

 

Major resistance- 1.2620,1.2725

 

Major support- 1.2500,1.2470

 

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