Yellen Speech: In third quarter economic growth to be pulled down by hurricanes

Janet Yellen, Chairwoman of the Federal Reserve, is delivering her remarks on monetary policy decisions, with key headlines, via Reuters, found below:

• Fed expects the economy to expand at a moderate pace over the next few years
• In third quarter economic growth to be pulled down by hurricanes
• Storm effects are unlikely to alter course of national economy beyond next two quarters
• Fed expects the job market will strengthen somewhat further

Key headlines:

CME Group FedWatch's December hike probability jumped above 70%

Following the release of the FOMC statement and the updated economic projections report, the probability of a 25 basis points rate hike in December jumped to 70.6% from 56% a day ago.

EUR/USD tumbles below 1.1950 after FOMC decision as USD soars

EUR/USD dropped below 1.1980 after the release of the FOMC statement. The greenback gain momentum across the board as US bond yields hit fresh daily highs. 

About the FOMC statement 

Following the Fed's rate decision, the FOMC releases its statement regarding monetary policy. The statement may influence the volatility of USD and determine a short-term positive or negative trend. A hawkish view is considered as positive, or bullish for the USD, whereas a dovish view is considered as negative, or bearish.

About FOMC economic projections 

This report, released by Federal Reserve, includes the FOMC's projection for inflation and economic growth over the next 2 years and, more importantly, a breakdown of individual FOMC member's interest rate forecasts.