Last week’s headlines were dominated by the U.S. FED, led by their quarterly interest rate announcement. This week starts off with more data releases from members of the FED. Although they are not show stoppers, traders and investors will be paying attention for hints at upcoming actions.

It Seems As Though The FED Cannot Stay Out Of The Limelight!

Market sentiment often depends upon the tone of the commentary from Central Banks. Many successful strategies are used when trading the inherent volatility that these announcements bring.

Let’s take a look at this morning’s activity.

Economic Metrics

This morning has brought the release of a few FED related items:

Event                                                         Previous            Projected           Actual

Chicago FED National Activity Index            0.03                    NA                   -0.31

Dallas FED Manufacturing Index                  17.0                     11.5                 21.3

The metrics come in as a mixed bag, with any ultimate take aways being largely inconclusive.

In addition to these numbers, FED members William Dudley and Charles Evans are due to speak on last week’s FOMC meeting and upcoming issues facing the U.S. economy.

Are Traders Experiencing “FED Fatigue”?

U.S. equities have opened the week’s trade sideways, with both the DJIA and the S&P 500 down moderately. The USD is also in a consolidation state, with tight ranges being the rule across the majors. This morning's news out of the FED did not bolster participation considerably.

Bottom Line: Monday’s are often tightly traded as we get our feet on solid ground for the coming week. Rest assured, there will be opportunity abound. Be sure to stay tuned to FX leaders for analysis and trade ideas across a wide spectrum of asset classes.