US: FOMC & tax reforms in focus his week – ANZ

Analysts at ANZ see little reason for the USD to extend its relief rally as the core CPI was firmer, but the rise was narrow, which suggest that, while December remains on the table, the ‘doves’ at the Fed could be emboldened.

Key Quotes

“This week the FOMC is expected to announce the start of its balance-sheet unwind; but any normalisation is set to be gradual, with little initial impact on markets. We also await the announcement of tax reforms, but the hurdle for positive surprise is high.”