18 Dec 2014
USD/JPY better bid after risk on markets post FOMC
FXStreet (Guatemala) - USD/JPY is trading at 118.81, up 0.12% on the day, having posted a daily high at 119.02 and low at 118.54.
USD/JPY has opened in Tokyo with a lower Nikkei and just shy if the 119.01 highs after the events of the FOMC in the US session that left the markets a little more sure of themselves, putting risk on and backing the US dollar with prospects of a Fed hike to take place possibly as early as the first quarter of 2015 but no sooner than after the next two FOMC meetings.
The Yen was volatile over the release of the statement and moving across into Yellen’s accompanying press conference as markets digested the change of language used within the statement, initially selling the dollar on the back of the removal of “considerable time” but then quickly gathering, that in fact, the statement was still within the verbiage but just disguised by “patient”. Overall, the FOMC was more dovish than expected but bullish on the US economy outlook and inflation targets.
USD/JPY has opened in Tokyo with a lower Nikkei and just shy if the 119.01 highs after the events of the FOMC in the US session that left the markets a little more sure of themselves, putting risk on and backing the US dollar with prospects of a Fed hike to take place possibly as early as the first quarter of 2015 but no sooner than after the next two FOMC meetings.
The Yen was volatile over the release of the statement and moving across into Yellen’s accompanying press conference as markets digested the change of language used within the statement, initially selling the dollar on the back of the removal of “considerable time” but then quickly gathering, that in fact, the statement was still within the verbiage but just disguised by “patient”. Overall, the FOMC was more dovish than expected but bullish on the US economy outlook and inflation targets.