FOMC pushes the restart button on USD rally
USD is sharply higher across the board after the FOMC policy announcement, moving in tandem with US yields, where 10y Treasuries are up 13bp, 2y yields up 5bp and December 2015 Eurodollar contracts down 19bp. The key message from the statement was the assessment that the downside risks to the economy have diminished. At the press-conference, Chairman Bernanke suggested that tapering could take place later this year and that purchases could end in mid-2014, but he was also careful to emphasise that…
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BNP Paribas