Currency Note US Dollar

US dollar awaits tomorrows Federal Reserve announcement tomorrow

By Ricky Bean December 17th, 2013

The US dollar had a disappointing start to the week, as investors faced some uncertainty over the advent of the tapering of the Federal Reserve’s quantitative easing program. A few smaller economic indicators came in ahead of expectations which helped raise expectations that we could see the central bank taper at Wednesday meeting hopes for the US, but many investors feel that even if the Federal Reserve does decide to taper, interest rates will be kept at record lows for the whole of 2014. The impact of any reduction was also in question, with some thinking the impact may be minimal or already priced in. Today, the key release from stateside is the core Consumer Price Index, with the current account also due to support this. With the Federal Reserve making it clear that any tapering is dependent on the economic outlook, data figures will be of high interest to investors, as they try to second guess how the central bank’s decision makers will vote on Wednesday. Call your trader now for the latest on the US dollar, with data under scrutiny.