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The Fed's statement is likely to be uneventful, despite all the buzz about the sinking U.S. dollar.
Traders have been talking about the November Fed statement for days now, because even a subtle tilt in the Fed's posture on interest rates could unhinge the popular "risk on" trade.
That is where investors bet against the U.S. dollar and throw money into risky assets such as stocks and commodities. Ahead of the meeting, the dollar was moving lower, commodities and equities were moving higher, and bond prices were falling, driving yields higher.
Gold has been the most dramatic mover this week. Often seen as a safe-haven play or inflation hedge, gold has soared to record levels as investors bet the Fed will do nothing to stem the dollar's fall. A large gold purchase by the Indian government also drove prices higher.
"No change of policy is likely. If there are any changes in the language, it's just to give flexibility for when there is a change, so that the comment made now doesn't sound too iron clad," said Pimco senior strategist Tony Crescenzi in a recent interview.
The statement is expected to be released at 2:15 p.m., after the Federal Open Market Committee winds down its second day of meetings. The November meeting is the Fed's second to last of the year, and it is widely anticipated it will do nothing before January, at the earliest.
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