The North American economic calendar is sparse today. The Federal Reserve is currently in a blackout period, which limits public communication until their next meeting concludes.
The US earnings calendar has minimal activity, contributing to a quiet period in the markets. There is little coming up in terms of economic announcements in both US and Canadian trading.
Three Year Treasury Auction
A 3-year Treasury auction is scheduled for 1 pm ET, but it is not expected to have a major impact on the market. Attention will remain on developments or announcements from the White House throughout the day.
We are currently in a quiet period with very little economic data to guide the market. The Federal Reserve is in its blackout period ahead of its next meeting, leaving traders to focus on political news for direction. This creates an environment where unexpected headlines can have an outsized impact on market sentiment.
This lull will not last, as we are looking ahead to the next major catalyst on the calendar. The upcoming FOMC interest rate decision on September 17th is the event that will likely break the current stillness. Traders should be using this quiet time to position themselves for the potential volatility that will accompany that announcement.
Market Uncertainty and Inflation Concerns
Recent data adds to the uncertainty surrounding the Fed’s next move. The last Consumer Price Index (CPI) report for August 2025 showed inflation holding stubbornly at 3.6%, still well above the central bank’s target. This persistence in inflation makes the upcoming rate decision a very close call.
With the market in a holding pattern, implied volatility is relatively low, with the VIX hovering near 14. This presents an opportunity for derivative traders to purchase options at a cheaper price. Buying protective puts or speculative calls can be a cost-effective way to prepare for a significant market move after the Fed meeting.
Historically, September has been a challenging month for stocks, a pattern we observed as recently as the volatile autumn of 2023. This seasonal tendency, combined with the current economic uncertainty, suggests a cautious approach is warranted. Hedging strategies should be a key consideration for traders over the coming weeks.
