re considering extending the production cuts that are currently in place. Additionally, production in Libyan has fallen almost 75%, according to Reuters, as production facilities in the country continue to be blockaded.
*3 Things to watch from the Fed on Wednesday:*
The Federal Reserve concludes its two-day meeting Wednesday with an almost certainty that it will not change interest rates.
There are, however, some other big items on the central bank’s plate. For one, there’s the coronavirus, with both its human toll and potential ramifications on China’s economic growth.
There’s also consideration over the Fed’s repo operations and how the market has taken the balance sheet expansion as another form of quantitative easing.
Finally, the Fed may decide to raise the interest it pays on excess bank reserves in an effort to lift its benchmark funds rate.
*Here are some events to watch out for this week:*
• Wednesday brings reports from GE, Boeing and Facebook; Samsung Electronics, International Paper, Unilever and Shell report on Thursday, followed by South Korean chip maker SK Hynix, Chevron, Caterpillar and Exxon Mobil all on Friday.
• Federal Reserve policy makers on Wednesday are expected to open 2020 the same way they closed 2019 -- by holding rates steady.
• Goldman Sachs will hold its first-ever Investor Day on Wednesday.
• The Bank of England meeting on Thursday is highly anticipated after a series of dovish comments raised speculation policy makers could lower interest rates.
• The U.S. reports fourth-quarter GDP Thursday.
• The U.K. is scheduled to leave the European Union Friday.
*Currencies*
• The Bloomberg Dollar Spot Index decreased 0.1%.
• The euro was unchanged at $1.1019.
• The Japanese yen weakened 0.2% to 109.14 per dollar.
*Bonds*
• The yield on 10-year Treasuries rose four basis points to 1.65%.
• Germany’s 10-year yield climbed four basis points to -0.34%.
• Britain’s 10-year yield jumped four basis points to 0.552%.
*Commodities*
• The Bloomberg Commodity Index advanced 0.1%.
• West Texas Intermediate crude rose to $53.48 a barrel.
• Gold decreased 0.5% to $1,575.80 an ounce.
By: via @AlliesFin Serve T.ME/ALLiESFiN
