December 15 Daily Forex News


Finally, the Federal Reserve opted to raise rates, after a year long wait. This was highly expected as markets had priced in a 100% chance of a rate hike. This and more on today’s daily Forex news and market overview.

15th December, AtoZForex – Another key news on the daily Forex news, Australia’s labor data released earlier today showed a mixed report, with unemployment falling to 5.7%, while the employment rate increased to 39.1k.

#1 Fed raises rates on hawkish tone

Following a one year break, the Federal Reserve policymakers reached a unanimous decision to hike rates by 0.25%. While adding that inflation expectations have increased “considerably” and suggesting the labor market is tightening. The Fed dot plot also depicts that the policy makers expect three rate hikes next year, rather than two. The dollar strengthened across the board following the release.

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Opportunity: Sell EURUSD on rallies

#2 SNB Libor rate

The Swiss National Bank is due to also release its London interest rate for 3-month Swiss franc deposits. The bank is expected to keep rates in negative territory at -0.75%. The negative interest rate and the SNB’s willingness to intervene in the foreign exchange market are intended to make Swiss franc investments less attractive, thereby easing upward pressure on the currency.

#3 Nigel Farage believes Italy can spur Euro Collapse 2017

The ex-UKIP leader, Nigel Farage believes that concentration on next year’s election in France, the Netherlands, and Germany has pushed ECB policymakers to neglect the situation in Italy at their meeting in Brussels. Nigel Farage believes that in every country in the EU opposition is increasing which could spur the collapse of the Euro.

#4 US CPI

The consumer price index is forecast to show a 0.2% Change in the price of goods and services purchased by consumers. While the Core CPI m/m is also expected to come at 0.2%. The Philly Fed Manufacturing Index is forecast to come at 9.1. With the dollar seeing some serious rally at the moment, positive reading here could further boost the greenback.

Opportunity: Sell gold on positive report

#5 Oil price dips

The fall in oil was as a result of a rise in the US crude inventories, also as markets perceived that the Organization of the Petroleum Exporting Countries (OPEC) has produced more crude than it was expected. Also boosted by the stronger dollar following the Fed decision to hike rates for the first time in a year.

Opportunity: Sell WTI on rallies

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