EUR/USD and USD/JPY FOMC analyses – FXStreet

By FXStreet FXStreet (Guatemala) – Valeria Bednarik, chief analyst at FXStreet offered an analyses on the EUR and Yen in her article, FOMC meeting: it’s now or never, and explained that the US policy makers are undergoing their two-day meeting, and will unveil their decision this Wednesday, largely expected to finally fulfill the promise of lifting rates for the first time in almost a decade.

Key Quotes:

“There have been many twists and turns over this decision all through this 2015, with a rate hike initially expected for April, and then delayed for September, when policy makers disappointed markets by maintaining the status quo.

The fact is that, despite the US economy has made significant progress on the employment front, inflation is still a rock in FED’s shoe. Inflation, in all of its forms, remains subdued, closer to deflationary levels than to the 2.0% ideal. Anyway, Ms. Yellen is confident that it would return to normal levels, as in its latest congressional hearing she remarked that data fits criteria for increasing rates.

A rate hike alongside with a hawkish stance should lead to some steady dollar gains into the weekend. Yellen should also offer a discrete outlook of the upcoming pace of rate …read more

Source:: FX Street