Bank of England Ready to Enter Spotlight, Trump Expected to Pick Jerome Powell as the Next Fed Chair

The Federal Reserve set the table for an interest rate hike in December. The Bank of England is expected to raise their Official Bank Rate today. The Pound will be in focus in forex as Governor Mark Carney speaks and delivers the BoE outlook.

Fed Sets Table for December Increase, Jerome Powell is Safe Choice

The Federal Reserve did not raise their interest rate yesterday, but as expected outlined reasons for a December increase. Jerome Powell is likely to be brought forth as the candidate as the next Federal Reserve Chairman. His nomination will have to be approved by Congress, but he is considered a safe pick. Wall Street put in moderate gains yesterday. Weekly Unemployment Claims data will come from the States today.

Nikkei Index Moderates Pace, China Services Data Tomorrow

After a day of incredible gains on the Nikkei Index yesterday, Japanese equities have moderated their pace early today and put in cautious gains. Monetary Base data from Japan was below expectation today. China will see the important Caixin Service Purchasing Managers Index reading tomorrow. The Shanghai Shenzhen has declined slightly today but has gained more than 3 percent the past month.

Pound Getting Plenty of Attention, Carney’s Outlook is Important

The Bank of England will be in the spotlight today as investors anticipate a rate hike. However, if this should occur as expected attention will turn to the Monetary Policy Summary as Governor Mark Carney speaks about the outlook of the central bank. Manufacturing Purchasing Managers Index data from the U.K showed an improvement yesterday and Construction PMI results will be released today. The Pound will get plenty of attention near term.

Gold Races Higher Short Term, Speculative Trading Expected Today

Gold has seen a fast market develop the past day as it has gained and is near 1280.00 U.S Dollars an ounce. Speculative trading will continue in the precious metal as traders are influenced by central banks and perceptions about the U.S Dollar moving forward.

Bank of England in Focus, BoE England Governor Carney Speaking

Traders will pay strict attention to the Bank of England’s Official Bank Rate pronouncements upon its release at 12:00 GMT.

• 9:30 AM GMT U.K, Construction PMI
• 12:00 PM GMT U.K., BoE Official Bank Rate
• 12:30 PM GMT U.S., Unemployment Claims

Yaron Mazor is a senior analyst at SuperTraderTV.

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