The US dollar advanced after the Federal Reserve delivered its first rate rise since 2023 in a unanimous decision, citing elevated inflation, upside risks and resilient demand. Officials lifted their 2026 GDP and inflation forecasts, and the dot plot pointed to another hike by end-year; while the 2027 median implied no further increases, eight members backed an additional move next year and one argued two may be warranted. Markets priced a 50% chance of an October follow-up and fully discounted a December rise, while for 2027 two quarter-point hikes are close to fully priced. Next week brings speeches from Austan Goolsbee on Monday, with Philip Jefferson and John Williams on Tuesday, plus Wednesday\u2019s S&P flash PMIs and Friday\u2019s Atlanta Fed GDPNow update for Q3.<\/p>\n
In Europe, Wednesday\u2019s Eurozone and UK flash PMIs follow policy calls in which the ECB raised rates by 25bps on 10 September and the BoE held rates in a 6-3 vote, with three favouring a 25bps increase; Eurozone markets indicate three more quarter-point hikes by end-2026. The SNB decides Thursday, with August CPI at 0.8% year-on-year within its 0\u20132% range and policy expected to stay at 0.0%, while a 25bps March hike is already fully priced. Australia\u2019s jobs report and a Thursday Trump\u2013Xi meeting, covering trade, tariffs, rare earths and AI, also sit on the radar.<\/p>\n\n\n\n