Forex: Fed Stimulates, Market Scoffs, AUD/USD and EUR/USD See Reversal Risk
The Fed ramped up its stimulus efforts at its policy meeting this past session...but there were few signs of the risk appetite rally we have come to expect after such a move over the years. Why? Because the announcement of a $45 billion-per-month Treasury purchase program falls exactly into line with the consensus. That same outlook was what helped carry risk-based assets like EURUSD, AUDUSD and the Dow Jones Industrial Average on the impressive rallies they enjoyed in the lead up to the event. Will we see the same build up and sharp reversal in risk and dollar that occured after QE3 was announced back in September? We discuss that, the trades and more in today's video.
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.