Lack of economic news for the first trading session of the week

There are no economic news on the Asian calendar tonight, however this do not certainly means, that it is going to be a quiet evening. Trade tensions between the US and China continue to shake investors after both sides continued to slash with new tariffs earlier this week. The Chinese Ministry of Commerce said on Thursday it hopes that states will show sincerity in trade talks.

The new week provides a bunch of economic news that will be of crucial importance for both the US stock markets and the forex market. Traders will be focused on the Fed's Interest Rate Decision. A hike in interest rates is almost 100% secure. When a country's central bank raises interest rates, it is often considered a bullish signal. Not so much in the United States, where the expectations that the Fed will raise interest rates next week bring with it huge sales signals for the dollar. BNP Paribas Asset Management commented that the dollar may collapse 10% over the next 6 to 9 months, while Invesco Ltd. predict that it will plunge 2% against the euro by the end of the year. Both companies are awaiting the Fed's decision on September 26, and will be following comments on the impact of escalating trade pressures. Both companies are betting that the greenback will also decline due to the monetary equalization between the US and other major competitors. Markets see interest rates rising by 25 basis points next week as almost 100% secure, based on fed fund futures. Thursday's contracts showed more than 45 basis points by the end of 2018. The focus is increasingly shifting to the prospects for the new year. But that alone will not be enough for a significant rise in the dollar, according to Noelle Corum, Portfolio Manager at Invesco Ltd. Global growth is improving and market players are beginning to speculate about a change in ECB and BoJ policies, and this will reduce the dollar's support for Fed promotions.

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