Preview of the Federal Reserve FOMC meeting from RBS

The Federal Open Market Committee (FOMC) meet on October 27 & 28 this week

The announcement is due at 2pm US eastern time on the 28th (1800GMT)

I posted up a quick preview from Goldman Sachs yesterday

Now, another quickie, this time from RBS, via eFX

The Federal Reserve holds its October policy meeting this week, and RBS matches the consensus anticipating no change.

"With no press conference scheduled and no update to the Fed's projections for growth, inflation, or 'dots', the bar was already set fairly high for any change in policy. International developments and domestic data released since the September decision are unlikely to have increased the Fed's sense of "reasonable confidence" that inflation will rise over time," RBS argues.

"The fact that the FOMC will release only its post-decision FOMC statement this week severely limits the Fed's ability to communicate a change in policy outlook. In this sense, less news is good news for the USD - the fewer changes the FOMC makes, the more positive for the USD at the margin.

But any USD gains inspired by an unchanged statement may prove fleeting, as participants quickly look to the commentary from FOMC officials and the minutes following the decision for a more detailed look at how the Fed's views on the outlook have evolved," RBS projects.