U.S. Dollar vs Precious metals
On Wednesday morning, the US dollar index traded slightly lower while the silver and gold prices got up, increasing by 1.08% and 1.45%. The precious metals market is still quiet, anticipating this afternoon’s conclusion of the Fed’s policymaking committee meeting, but some analysts state that gold and silver prices may rally after its decision.
The two-day meeting of the Federal Reserve’s Open Market Committee (FOMC) began on Tuesday and shall end this afternoon with a conclusion about its policy. It’s widely expected that the Fed will conclude to raise the interest rates by 0.25% today, but investors are more focused on future increases that may come by the end of this year, as well as their potential impact on the markets.
Stock Market Today
As traders are waiting for today’s approval of the interest rate hike, the US stock market had a higher opening this morning. Dow Jones Index is up 0.32%, S&P 500 increased 0.45% and NASDAQ rose 0.35%. Today, FOMC shall announce its 2nd interest rate hike in three months and the 3rd in ten years, but most important, Fed will also release its updated forecasts that may include three further rate hikes this year.