The Dow jumped more than 200 points after initially narrowing. driven by the expectation that the Federal Reserve (Fed) will raise interest rates by only 0.25% at its meeting next week.
As of 10:32 pm Thai time, the Dow Jones Industrial Average was 33,585.97 points, plus 210.48 points or 0.63%.
Investors put almost 100% weight in their forecasts. The Fed will only raise interest rates by 0.25% in this round of meetings. This is the Fed’s first monetary policy meeting this year. The US Consumer Price Index (CPI) and Producer Price Index (PPI) both indicate that US inflation has peaked.
Recently, CME Group’s FedWatch Tool indicates that investors weigh 99.8% that the Fed will raise interest rates by 0.25% to a range of 4.50-4.75% on its January 31-February This gives a weight of 76.7%.
Fed officials are beginning a blackout period ahead of the Fed’s monetary policy meeting on January 31-February 1.
Feeding regulations prohibit feeding officers from making public comments. Or give an interview during the Blackout Period about financial policy. It starts on the second Saturday before the Fed’s (FOMC) monetary policy meeting and ends on the Thursday after the FOMC meeting.
Investors keep an eye on the performance of listed companies. Including the personal consumption expenditure (PCE) price index, which the US Department of Commerce will release on Friday. The index is a measure of inflation that the Fed is concerned about. and can detect changes in user behaviour. while covering a wider range of prices for goods and services than the Consumer Price Index (CPI).
