Fed: Forward guidance likely to stress gradual pace and data dependency – Rabobank

FXStreet (Delhi) – Philip Marey, Senior US Strategist at Rabobank, suggests that the forward guidance for the hiking cycle after the December hike is likely to stress both a gradual pace and data dependency.

Key Quotes

“The FOMC statement is likely to indicate that a gradual increase in the target range for the federal funds rate will likely be appropriate. In addition, the statement may indicate that monetary policy adjustments could be either more or less gradual than the Committee currently anticipates, responding to the Committee’s assessment of the implications of incoming information for the medium-run outlook.”