The FOMC (Federal Open Market Committee) rate decision is one of the most highly anticipated events on economic calendar. The announcement is designed to inform everyone about the US Federal Reserve’s decision regarding interest rates. A policy to increase, decrease or even keep key interest rates the same can have large effects on the currency market.
Once the FOMC releases their key interest rate decision it is also important to look for statements directly from the Fed. These statements can give traders hints at the Feds outlook on the future of the US economy as well as future rate decisions. Traders will often price in what they think will be the Fed’s next move making statements almost as important as the rate decision itself.
Linkback: https://www.forex.zone/forex-education/29/understanding-the-fomc/1183/