Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

FOMC Meeting



The FOMC meets on the last day of the month and quarter. Based upon the analogs below, this shifts the bias for Thursday's open and close to the bulls. The below queries were for SP futures.

  • SP meets on last day of month: SP opened higher 7 of 10 and closed higher 8 of 10. Three of those meetings occurred on the final day of June and all three opened higher and closed higher.
  • SP on June FOMC meeting: SP opened higher 5 of 7 and closed higher 5 of 7.

This Thursday will also mark the one year anniversary of the FOMC rate hikes. In June 2004, the FOMC raised rates 25bps to 1.25% and has steadily raised the target rate at each meeting. For those interested, I've listed the performance of SP and Ten Year futures on and around those dates.

  • SP observation: the bias has been for a higher open and close on the day of the meeting.
  • TY (ten year futures) observation: the bias has been for a higher close the day before, a lower close on the day of, and a higher close on the day after the meeting.

Past performance does not indicate future results. But we should at least be aware of the historical tendency.

< Previous
  • 1
Next >
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.

Featured Videos