FED Brainard dovish comments provide fuel for the bulls
Major Wall Street indices launched today's session mixed, however moods improved later in the session partially thanks to some dovish comments from FED Brainard. Fed vice chair believes that 'soon' it will be appropriate to move to a slower pace of increases especially that most recent CPI suggests core PCE might also show reduction while wage series started to step down but it will take time. By moving at a more deliberate pace, the Fed can assess more data and better adjust the path of rates to bring inflation down. Question of peak rate will be informed by the flow of data, even for the December meeting, information will come in. Although these statements do not contain anything groundbreaking, the markets reacted positively - stock indices rose and the dollar weakened.
US500 retests the 4000 pts level. Should a break higher occur, upward move may accelerate towards downward trend line, or even the resistance at 4195 pts, which is marked with the the upper limit of the 1:1 stricture. On the other hand, the nearest major support to watch is located around 3705 pts. Source: xStation5
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile appThis content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr SÄ dowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.