Morning Juice – US Session Prep

Morning, Traders!
It is Wednesday the 18th of December, here are some things to look out for today.

Sentiment
Global stocks recovered on Wednesday, as investors awaited the Federal Reserve’s final policy decision of the year.

Futures contracts for the S&P 500 and Nasdaq 100 rose after both gauges fell on Tuesday.
The Stoxx 600 was set to see its first day of gains in five sessions.
Asian equities held steady, ending a three-day losing streak.

While a quarter-point Fed interest-rate cut is almost fully priced in for today, investors will concentrate on the outlook for 2025, as inflation slows more slowly than expected and the economy remains strong.
The potential impact of key policies under President-elect Donald Trump’s new administration adds to the uncertainty.

Last quarter, the Fed’s so-called dot plot predicted a full percentage point of rate cuts in 2025, following a similar level of easing this year.
Money markets are currently pricing in a cut today, followed by less than two 25 basis-point reductions next year.

Docket
08:30 ET
US Housing Starts for November
Median Forecast: 1.345M | Prior: 1.311M | Range: 1.447M / 1.25M

10:30 ET
US Weekly EIA Crude Oil Inventories
Median Forecast: -1.7M | Prior: -1.425M | Range: -1M / -2M

14:00 ET
US Interest Rate Decision
Median Forecast expects a 25 bps cut to 4.5% from 4.75%.

FOMC Rate Statement

FOMC Summary of Economic Projections
FOMC Median Rate Forecasts
Current Year – Median Forecast: 4.375% | Prior 4.375%
Next Year – Median Forecast: 4.625% | Prior: 3.375%
+2 Years –  Median Forecast: 3.125% | Prior: 2.875%
+3 Years –  Median Forecast:3.125% | Prior: 2.875%
Long Run – Median Forecast: 3% | Prior: 2.875%

14:30 ET
FOMC Press Conference with Chair Powell

Good luck!