- Participants noted that slowing the increases would allow an assessment of progress in inflation and employment
- Participants stressed that more evidence of progress is needed to be confident that inflation is on a sustainable downward trajectory
- No participant anticipated that it would be appropriate to start lowering the federal funds rate in 2023
- Participants continued to expect that sustained increases in the target range for the federal funds rate would be appropriate
- Participants reiterated their strong commitment to returning inflation to the Committee’s target of 2%.
- October and November showed a welcome decrease in the monthly pace of price increases, but stressed that more evidence of progress is needed to be confident that inflation is on a sustainable downward trajectory.
- Participants generally noted that the uncertainty associated with their economic outlook is high and the risks involved economic inflation Expectations remain tilted to the upside
I’ve been warned that the tone of this report is likely to be hawkish and I don’t think it’s much of a surprise however U.S. dollar
U.S. dollar
The US dollar, ($ symbol, USD symbol) is the paper currency of the United States of America (USD) and the most traded currency globally. It was introduced to the United States in the late eighteenth century, with banknotes not being distributed until the next century. The US dollar, also known informally as the greenback, is the world’s premier reserve currency, in large part due to the importance of the US economy on the world stage. Once backed by gold (in the 20th century), the dollar is now a purely fiat currency, i.e. not backed by a physical commodity. The previous gold standard aligned with the US dollar made gold and silver the legal tender currency of the United States of America, with the guarantee that 1 US dollar could be converted into a gram and a half of pure 24 karat gold. However, President Richard Nixon eventually abolished the gold peg in 1971. Since the gold standard was cut, the US dollar has become the world’s premier reserve currency, meaning that foreign countries have large amounts of their cash reserves in US dollars, which is what It accounts for 65% of the world’s foreign exchange reserves. They are traded in pairs. Any retail broker offers exposure to the US dollar in many exchange pairs, due to its popularity and liquidity. The US dollar participates in the majority of the most traded forex pairs, such as EUR/USD, USD/JPY, GBP/USD, and USD/CHF, known as the “four majors” and “commodity pairs,” i.e. AUD/USD, USD/CAD, and NZD/USD.
The US dollar, ($ symbol, USD symbol) is the paper currency of the United States of America (USD) and the most traded currency globally. It was introduced to the United States in the late eighteenth century, with banknotes not being distributed until the next century. The US dollar, also known informally as the greenback, is the world’s premier reserve currency, in large part due to the importance of the US economy on the world stage. Once backed by gold (in the 20th century), the dollar is now a purely fiat currency, i.e. not backed by a physical commodity. The previous gold standard aligned with the US dollar made gold and silver the legal tender currency of the United States of America, with the guarantee that 1 US dollar could be converted into a gram and a half of pure 24 karat gold. However, President Richard Nixon eventually abolished the gold peg in 1971. Since the gold standard was cut, the US dollar has become the world’s premier reserve currency, meaning that foreign countries have large amounts of their cash reserves in US dollars, which is what It accounts for 65% of the world’s foreign exchange reserves. They are traded in pairs. Any retail broker offers exposure to the US dollar in many exchange pairs, due to its popularity and liquidity. The US dollar participates in the majority of the most traded forex pairs, such as EUR/USD, USD/JPY, GBP/USD, and USD/CHF, known as the “four majors” and “commodity pairs,” i.e. AUD/USD, USD/CAD, and NZD/USD.
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