Hi friends,
Well well, the markets were looking for Ben, and he didn’t disappoint. After last testify in front of the congress where he sounded not sure about his steps, this report today shows clearly that the Fed with Bernanke in the head of it, are not seriously consireding reducing it and some of the Fed members are even thinking about continuing with it in 2014.
It will most likely will happen without Bernanke then, as he might free his chair, but it does feel that some of the Fed members afraid of thinking about the “day after QE”.
Time will tell how this first time even experiment will end, but the markets are moving nervously after the speech.
So what we could expect to?
Personally I won’t be surprised if the US Dollar will keep weak some more days, but I do think that it will come to its end faster then everyone expects.
The next central bank chairman to wake up and intervene will be Draghi, simply because the EUR shows muscles against most of the pairs, and it’s not something that Eurozone can deal with for long term. Be ready for Draghi’s action too.
I wish you a wonderful evening,
Yours,
Vladimir Ribakov
