On Wednesday, the minutes from the January FOMC meeting will be released. According to the Research Department at BBVA, the document could provide some clarity on what direction the FOMC is headed. Key Quotes: “The FOMC minutes (Wednesday) will be the topic to watch for this week. However, so much has happened in the global economy since the January meeting that the details may not be as relevant to the Fed’s current discussion.” “We expect that the minutes will highlight some members’ growing concerns on global economic and financial market uncertainties, as well as continued worries on persistently low inflation. There may not be any direct mention of plans to revise down their policy path projections, but current conditions suggest that this idea must at least be running through their minds.” “Federal funds rate futures suggest that markets are now expecting the Fed to hold off on another rate hike for the entire year, which seems a bit too hasty of an assumption at the moment. Still, the FOMC’s data-dependent strategy lends itself to such a scenario if economic and financial conditions continue to deteriorate. At this point, it seems too early to know for sure. Hopefully the meeting minutes will provide some clarity on what direction the FOMC is headed.” For more information, read our latest forex news.