Data showed on Monday that manufacturing activity slowed to the lowest level since October 2013 and existing home sales declined 3.4 percent last month, but both surveys continued to support long-term stability in the US economy.
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While U.S. Commodity Futures Trading Commission data shows that speculators have been increasing their bearish bets against the euro, the amount of such bets remains below this year’s peak, suggesting there may be scope for such bets to increase further, Ino added.
The discount rate is the cost of direct loans to banks from the Fed.
In the end, the Fed at its October 27-28 meeting left its key rate unchanged but said further progress could justify a December hike.
Spot gold had fallen 0.3% to $1,074.91 an ounce by 0045 GMT, extending Friday’s 0.4% drop.
An official from Woori Bank acknowledged the bank continues to advise its customers to invest in the us dollar, noting they expect the won-dollar exchange rate to reach 1,250 won against the greenback.
“The meeting took place prior to this month’s bumper jobs report, which highlights that, barring an absolute shocker in December, Janet Yellen and co can achieve the 2015 hike they seek”.
The Fed’s quarterly economic forecasts would be critical, along with public comment from Fed officials and possible changes to the Fed’s post-meeting statement, Mr Timms said.
On Saturday, Williams said that going forward the Fed might find itself lifting the interest rates up off zero at some point in the future, raising the question about if it should prepare other policy tools such as interest rates in the negative.
Evidence of the USA dollar’s effect on the economy includes making US-produced goods less attractive in overseas markets.
The company’s shares fell by as much as 17 percent on Monday, the day after the southern Chinese city held its first elections since huge pro-democracy protests a year ago.
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News of a previously unscheduled meeting of the Federal Reserve’s governors today, Monday, is inevitably leading to speculation that some U.S. interest rates could be increased well before next month’s regular meeting of the Federal Open Market Committee, which sets the benchmark Federal funds rate. Silver tumbled to $13.86 an ounce, the lowest since August 2009, while palladium fell 2.8 percent to $543.85 an ounce.
