At noon on the foreign exchange market, the European single currency rebounded after a bout of weakness that the day before, did fall to 1.2836, its new annual floor . After a fall of 0.90% Wednesday, the euro resumed this afternoon from 0.28% to 1.2879 dollar and still earns 0.46% against the yen at 139.93.
Yesterday in fact, the Fed has not changed its position as the market feared a hawkish, ‘the Fed said it would be the end of QE (quantitative easing) in October and reiterated that it would not fall rates until a considerable period, ‘says RTFX.
? Traders certainly expected a more clear-cut speech. Yellen finally highlighted the poor job market and low inflation has not reached the target objective ?, added the specialist.
In other words, the Fed confirmed the current expectations with respect to the end of QE, while declining to be more ‘hawk’ on interest rates. Or it was just a factor of concern: information left recently suggested that the Fed could tighten its conventional sooner than expected monetary policy, before mid-2015. This is not the case, especially as growth projections have been clipped.
In short, the rates will remain low “for a considerable period,” notes the Fed, which has not changed its phraseology. “Despite expectations, the Fed stays the course and does not change its prospective indication, even if the purchases of securities will be completed soon ‘comment economists Quebec bank Desjardins.
In addition, the extension of the ECB’s balance sheet could be slower than expected, yet it accelerates: the Frankfurt bank announced it allocated $ 82.6 billion to EUR 255 counterparties , as part of the first of the eight targeted refinancing operations in the longer term (TLTRO) which will be conducted until June. Expectations were available instead on a number between 100 and 120 billion euros.
Recall that the ECB is expected to announce details here unconventional measures of asset purchases.
Face sterling, the single European currency lost 0.11% to 0.7889. This evening, or at night, the result of the referendum on Scottish independence will be known. At that time, the equity markets seem to count on a victory of ‘no’ that ’cause a real relief rally and would have a beneficial effect on the book as the shares’ according to IG.
Finally, the currency of the European Monetary Union settles 0.18% against the Swiss franc at 1.2081. But note that the Swiss National Bank has maintained its previous policy, which aims to defend? Bar? of CHF 1.20 euro, reducing its growth forecast.
This afternoon, operators should be aware, the United States, the entries weekly unemployment benefits, numbers of residential construction and the index of the Philadelphia Fed.
Copyright (c) 2014 CercleFinance.com. All rights reserved.
Ras-le-bol tax? Download our free guide to pay less tax in 2014 thanks to your investment
No comments:
Post a Comment