20, December 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The main event was held on the eve of the last few months - U.S. Federal Reserve meeting. All global exchange community wondering - whether reduction program QE3 5-10 billion or all remain at the same levels? 30 minutes before the announcement of the Fed's two-day meeting was the growth yield on 10-year U.S. bonds, giving a hint that the reduction will still. So in the end what happened - the incentive program is reduced by $ 10 billion. At a press conference, Fed Chairman Ben Bernanke said that the labor market indicators and GDP add optimism, but difficult to control inflation and the regulator will look very carefully at this indicator.

It was also announced that at its next meeting in January 2014 FOMC will consider further reductions in incentives. Major currency pairs, this Fed move, reacted first movements in both directions, and only then could observe the strengthening of the U.S. dollar. Leading stock markets reacted growth of quotations.

"Rally" in the stock markets cheered most bulls pair dollar/yen, which set a fresh yearly high. Positive data on the labor market in the UK had supported the British currency quotes and after the Fed meeting - a pair of pound/dollar has also established a fresh yearly high. However, this fuel for the growth has ended and could be observed reversal.