FOMC Statement Highlight And Analysishttp://www.currencynewstrading.com/wp-content/uploads/slideshow-gallery/fomc-dec-qe.jpg
December 13, Federal Open Market Committee surprised the market today by dropping the 2015 low rates pledge by changing to a target based policy. Specifically, the FOMC pledges to keep rates low until unemployment rate is below 6.5% and Inflation is above the 2.5% target… This basically provided no set timeline for the Feds to keep rates at the current level, and will add to the USD selling trend…
Yen Crosses Positioned To Trade Higher As Abe Wins The Election…http://www.currencynewstrading.com/wp-content/uploads/slideshow-gallery/shinzo-won-election.jpg
December 17, With the LDP and New Komeito coalition, Abe, the PM-Elect, will have the support he needs to pass his agenda, thus it’s likely that we’ll see weaker JPY in 2013. If Abe were to keep his words, namely having an inflation target of 2.0% by aggressively depreciating the JPY, I wouldn’t be surprised to see USDJPY re-approach the 90 to 100 level.
Month In Motion – December 2012
January 2, 2013 by Leave a Comment