Bank of Japan Eyes Further Rate Hikes Amid Middle East Tensions and Inflation Pressures 
Bank of Japan's Ueda Flags Low Real Interest Rates as Key Factor in Rate Hike Timing 
RBA's Hauser Flags Uncertainty on Rate Settings Amid Iran War Economic Risks 
FxWirePro: Daily Commodity Tracker - 21st March, 2022 
Singapore Tightens Monetary Policy Amid Middle East War Inflation Risks 
Bank of America Maintains Forecast for Two Fed Rate Cuts in 2026 Despite Inflation Risks 
Federal Reserve Probes Big Banks Over Private Credit Exposure Amid Growing Systemic Risk Concerns 
RBI Clamps Down on Rupee NDF Activity, Banks Face Steeper Losses 
The U.S. Federal Reserve will announce its interest rate decision tomorrow and unless the central bank turns out to be more hawkish than the market is anticipating, it is unlikely to be bullish for the dollar. The financial market is pretty convinced that the U.S. Federal Reserve would increase rates for the fifth time since 2015 and for the first time in 2018. The market is currently pricing a hike tomorrow 94.4 percent probability.
In its January FOMC projection, the Fed forecasted three rate hikes for 2018, after increasing interest rates thrice in 2017. The market is currently pricing the third hike in December with 78 percent probability. If FOMC continues to project three rate hikes for 2018, the probability of the second and the third hike might move up but that wouldn’t be sufficient to push the dollar higher as it has been struggling lately as the focus shifted on policy winding by other major central banks around the world.
