The S&P 500 Index opened down 7.02 points, a decrease of 0.10%, at 6833.49 points; the Dow Jones Industrial Average opened up 13.67 points, an increase of 0.03%, at 47573.96 points; the NASDAQ Composite Index opened down 40.49 points, a decrease of 0.17%, at 23536.00 points

FOMC Decision Preview - Wednesday, Dec. 10

Image Source: Pexels As markets head into today’s FOMC decision, the consensus expectation is for the Federal Reserve to deliver a 25bp rate cut, an outcome that is largely priced in. As a result, the policy move itself is unlikely to drive sustained market reaction unless accompanied by a meaningful shift in messaging.Video Length: 00:02:02More By This Author:Global Macro At An Inflection Point Hawkish Cuts And The End Of Easing Global Markets Steady As Policy Paths Diverge

The Federal Reserve is expected to cut interest rates by 25 basis points, but has hinted at a possible pause in rate cuts.

The Federal Reserve is expected to cut interest rates by 25 basis points, but has hinted at a possible pause in rate cuts.

Divided Fed set to announce decision on interest rates

Inflation as picked up in recent months alongside a hiring slowdown.

FX Daily: Prepping For A Hawkish Fed Cut

The focus today is on policy meetings for the Fed and the Bank of Canada. The Fed is expected to deliver a hawkish rate cut, potentially raising short-dated US rates and the dollar. The BoC may push back against rate hikes priced for 2026. Key points include the Fed's Summary of Economic Projections, dissenters, and Chair Powell's press conference. The EUR/USD may drop due to USD rate increases, but could bounce back by year-end. The BoC is expected to keep rates at 2.25%.