TMGM Daily Market Breakfast: 17 October 2026

Morning Snapshot

• Federal Reserve Chair Warsh said he would not prejudge the October policy meeting, while the Dollar Index fell to its lowest since October 1.
• Bank of Japan Governor Kazuo Ueda reiterated that the central bank would continue raising interest rates as underlying inflation approaches its 2% target.

Market Developments

Foreign Exchange

The Dollar Index fell from just above 102.00 to about 101.85 in a five-minute period as Federal Reserve Chair Warsh spoke, then extended its decline to its lowest since October 1. The decline paused near 101.60 twice.

Central Banks

Fed Chair Warsh Declines to Prejudge October Policy Meeting

Federal Reserve Chair Warsh said he does not prejudge policy meetings in his final remarks before the central bank's quiet period. His comments left the October rate decision open, without committing to a particular policy action.

BoJ's Ueda Reiterates Further Rate Increases as Inflation Nears 2%

Bank of Japan Governor Kazuo Ueda said on Friday that the central bank would continue raising interest rates as underlying inflation approaches its 2% target. Ueda also said financial conditions remain accommodative, reaffirming the bank's guidance on further policy tightening.