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FOMC In Spotlight As Chinese Equities Surge

LATAM
  • The FOMC are expected to hike rates for the first time since 2018, likely opting for a 25bp increase. Markets will pay attention to the latest SEPs and potential specifics on future balance sheet policy as the Fed eyes reducing its asset holdings beginning in the coming months.
  • Chinese & Hong Kong equities surged to liven up what had been an otherwise limited pre-FOMC Asia-Pac session. Post-meeting communique from China's State Council vowed support for equity markets, which resulted in the aforementioned rally.
  • The USD index is seen 0.5% lower ahead of US retail sales data at the bottom of the hour.

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