Tuesday May 4, 2004 - 20:16:49 GMT
Share This Story
INVESTICA Ltd - www.investica.co.uk
Fed meets expectations
The Fed left interest rates at 1.0% on Tuesday and also met market expectations with the accompanying statement. The deflation threat was formally dropped and the Fed also removed the reference to the FOMC being patient. Instaed, the Fed stated that rates could be lifted at a pace which is likely to be measured. This suggests that data will need to be very strong to trigger a June hike, with August the more likely time for an increase.
The dollar is unlikely to secure near-term benefit and there is the potential for a further corrective dollar retreat, especially with caution ahead of the employment figures on Friday. There is likely to be a near-term test of 1.2120 dollar support and the Euro appears likely to break above this level.
Forex Trading News
Daily Forex Market News
Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."