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19 Mar 2014
Flash: All eyes on the FOMC today – Danske Bank
FXStreet (Edinburgh) - Analyst Jens N. Pedersen at Danske Bank expects the FOMC keeps on tapering its QE programme today by another $10 billion.
Key Quotes
“We expect the Fed to taper its assets purchases by USD10bn, taking monthly purchases down to USD55bn”.
“We also see only moderate revisions to its forecasts. The Fed is likely to mention the recent economic weakness in the statement, highlighting bad weather as the most important factor”.
“Some key figures for February and March have been a bit better than expected and the Fed will take some comfort in that”.
“At the press conference, we believe Yellen will reiterate that it will take a notable deterioration of the outlook for the Fed to change the plan of tapering USD10bn per meeting this year. The projected rate path should be broadly unchanged as the Fed is still optimistic on the outlook for the US economy once looking through the short-term softness”.
Key Quotes
“We expect the Fed to taper its assets purchases by USD10bn, taking monthly purchases down to USD55bn”.
“We also see only moderate revisions to its forecasts. The Fed is likely to mention the recent economic weakness in the statement, highlighting bad weather as the most important factor”.
“Some key figures for February and March have been a bit better than expected and the Fed will take some comfort in that”.
“At the press conference, we believe Yellen will reiterate that it will take a notable deterioration of the outlook for the Fed to change the plan of tapering USD10bn per meeting this year. The projected rate path should be broadly unchanged as the Fed is still optimistic on the outlook for the US economy once looking through the short-term softness”.