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USD/JPY aims to 108.80 on Fed

FXStreet (Edinburgh) - The decision of the Fed to end QE3 is giving extra wing to USD/JPY, climbing to fresh highs in the vicinity of 108.80.

USD/JPY boosted by the FOMC

Spot is responding with a considerable up move after the Committee ended the 2-year bond-buying programme in the US economy. In line with market expectations, the Fed took the pace of Treasuries purchases to $0 billion from $10 billion and to $0 billion from $5 billion in Mortgage Backed Securities (MBS). The pair is now printing fresh multi-day highs in the 108.80/90 band, closer to 109.00 the figure.

USD/JPY levels to consider

The pair is now up 0.555 at 108.76 with the next resistance at 109.08 (76.4% of 110.09-105.20). On the downside, a break below 107.64 (Kijun Sen) would expose 107.61 (low Oct.27).

Fed terminates QE3; acknowledges improvements in labor market

Fed's QE3 time of death was 2 pm EDT at October 29, 2014. As expected. The Federal Reserve announced the end of its bond purchases program as the central bank mainly hinted in its previous meetings. The Fed also maintained its interest rate unchanged at 0.25%.
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AUD/USD crashes through 0.8800 after Fed decision

AUD/USD fell sharply and lost over a full cent from above 0.8900 to below 0.8800 after the release of the Federal Open Market Committee statement on monetary policy.
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