FED (just annouced) Official Rates to rise to 0.25%
- Thread starter tozak
- Start date
Will we see sub AUD70 as a result?
yay...I won a round fiddy 
Rate rise was widely expected. The market looks to have pulled a typical "buy the rumour, sell the fact" routine.
Commentators are also interpreting "dovish" comments for future policy which signal the next rate rise could be some way off. This would also be contributing to the AUD up, Gold up etc.
Commentators are also interpreting "dovish" comments for future policy which signal the next rate rise could be some way off. This would also be contributing to the AUD up, Gold up etc.
wasn't it all ready at 0.25%
so is it rising another 0.25% to 0.5%
so is it rising another 0.25% to 0.5%
I was surprised by the outcome, expected the opposite.hiho said:
TheEnd said:
no they have not they have been 0.25% for years
More specifically, they have been targetted to be in the range of 0.00-0.25% for years. The effective daily rate (ie basically the average of all trades throughout the day) has been between roughly 0.07% and 0.20% since ~2009 with the last 12 months basically averaging 0.125%.Court Jester said:
Now the target federal funds rate range will be 0.25-0.50%.
systematic
Well-Known Member
A rate rise just before Christmas sends a clear message what the sentiment is ...
So how many traders now dumping Junk bonds for Sovereign bonds?, I'll give it to about (March/April) next year before the ripple effect of this crashes the bonds/derivatives. Of course more likely Yellen will drop rates and increase QE to combat this before it gets too bad. The fact that the FED minutes really softened the blow of the rise to me says they are already ready to back peddle on it in the new year.