FOMC Minutes: About half of members see QE3 ending this year

FXstreet.com (Córdoba) - Minutes of the Jun 18-19 Federal Open Market Committee meeting showed about half of the members consider it likely would be appropriate to end the bank's asset purchases late this year, while others wanted it to continue into 2014.

Meanwhile, generally agreed that the Committee should provide additional clarity about its asset purchase program relatively soon and what happens with rate hikes, which they all saw well off in the distance.

"Majors are spiking back and forth against the greenback, with the American currency extending its early slide after the release of latest FOMC Minutes", says Valeria Bednarik, chief analyst at FXstreet.com. "The FED seems ready to start retrieving facilities 'soon', although many said labor market gains are still needed before starting tapering".

"However, news that at least half of the Federal Reserve officials want not only to taper, but to end Q3 entirely this year, and more will be unveiled with Bernanke's press conference in a couple hours, are not enough to prevent a dollar slide", Bednarik adds.

USD/CHF tumbles to 0.9600 level after FOMC

The USD/CHF was facing heavy pressure as the FOMC essentially came out and revealed what most already had postulated – that QE would continue in the short-term, though may ultimately be extinguished by years end.
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AUD/USD, more signs of bottoming

The FED did not failed in bringing life to a comatose market: majors are strongly up against the dollar, with the AUD nearing 0.9200 after mixed headlines hitting the wires...
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