A two-day meeting of the Federal Reserve kicks off today behind closed doors so officials can discuss the state of the economy. The markets and exchange traded funds (ETFs) are poised in wait until Wednesday, when an announcement will be made.

The Federal Reserve Officials are meeting behind closed doors at the Federal Open Market Committee meeting to discuss the state of the economy and where we are headed next. They’re looking to stay out of the limelight in order to dissuade any notion that they’re tightening policy.

Greg Robb for MarketWatch reports that since the recovery is so weak, there’s no reason to change the  posture of the stimulus money or the monetary policy at this stage. If this is true, gold and oil may continue to remain strong as the dollar limps along.

The commodities market has already strengthened as the U.S. dollar has grown softer.

  • SPDR Gold Shares (NYSEArca: GLD): up 13.7% year-to-date

  • United States Oil (NYSEArca: USO): up 8.3% year-to-date

For more stories about commodities visit our commodity category.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.

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