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29 Jan 2014
Flash: USD to emerge in good shape post FOMC - Westpac
FXstreet.com (Bali) - The FOMC’s two day meeting concludes with a statement at 3GMT but no press conference in Ben Bernanke’s last meeting as Fed chairman.
Key Quotes
"This limits the potential market impact, as does the unusually clear guidance from Fed officials, hawks and doves alike."
"Any outcome other than a -$10bn reduction in QE, to a total $65bn per month ($35bn treasuries, $30bn mortgage-backed securities) would be a big surprise."
"There seems to be no consensus on changing the Fed’s forward guidance (e.g. 6.5% unemployment rate) at this meeting."
"The weak Dec jobs report was played down by many officials. We usually see volatility after FOMC decisions even when well-flagged but overall we suspect USD emerges in good shape, especially ahead of GDP on Thu."
Key Quotes
"This limits the potential market impact, as does the unusually clear guidance from Fed officials, hawks and doves alike."
"Any outcome other than a -$10bn reduction in QE, to a total $65bn per month ($35bn treasuries, $30bn mortgage-backed securities) would be a big surprise."
"There seems to be no consensus on changing the Fed’s forward guidance (e.g. 6.5% unemployment rate) at this meeting."
"The weak Dec jobs report was played down by many officials. We usually see volatility after FOMC decisions even when well-flagged but overall we suspect USD emerges in good shape, especially ahead of GDP on Thu."