According to BlockBeats, global markets next week will continue to absorb the impact of the Federal Reserve’s rate hike this week, its first since 2023, while repricing a higher-for-longer interest-rate path.
Geopolitics and FX risks move into focus
On the geopolitical side, Trump is expected to meet Gulf states during the United Nations General Assembly in New York and is nearing a “major decision” on whether to escalate strikes on Iran. At the same time, air defense sirens were heard again in the Saudi capital after several months, leaving oil markets pulled between a geopolitical risk premium and ongoing repair in actual supply.
In Japan, markets are heading into the Silver Week holiday. Thin liquidity, combined with pressure on the yen, has pushed expectations for policy intervention higher.
Key events for the week ahead
Tuesday
- Trump will meet Gulf countries during the United Nations General Assembly in New York and is nearing a “major decision” on Iran policy
- The U.S. Treasury will auction $69 billion in 2-year notes
- New York Fed President John Williams and Federal Reserve Vice Chair Philip Jefferson are scheduled to speak
Wednesday
- The U.S. Treasury will auction $70 billion in 5-year notes
- Richmond Fed President Thomas Barkin is scheduled to speak
Thursday
- The U.S. Treasury will auction $44 billion in 7-year notes
- The European Central Bank will release its economic bulletin
- John Williams, Thomas Barkin, Cleveland Fed President Hammack, and Philadelphia Fed President Paulson are scheduled to speak in a packed session
Friday
- Final September reading of the University of Michigan consumer sentiment index in the U.S.
- Final reading of one-year inflation expectations in the U.S.
- John Williams is scheduled to speak again