Fed could strike a hawkish tone tomorrow – BBH

FXStreet (Edinburgh) - In the view of analysts at BBH, the Federal Rserve could use a hawkish tone at its meeting on Thursday.

Key Quotes

“We suspect if the Fed does not hike rates this week, its statement will be rather hawkish, suggesting a rate hike has been delayed, but that it is still forthcoming”.

“Parallels could be drawn between this and September 2013, when nearly everyone (not us) thought that the Fed could announce the tapering of QE3+. Instead it waited until December”.

Sep 16, 2015

No reason for ECB to expand QE program further - ECB's Weidmann

In an interview with Sueddeutsche Zeitung published on Wednesday, the European Central Bank’s (ECB) Governing Council member Jens Weidmann noted, there is no reason for the central bank to expand its current asset purchase program as the economic assessment underpinning the current strategy is still intact.

EUR/USD drops below 200-DMA, 2-yr treasury yield above 0.80%

The bid tone on the USD continued to strengthen in the wake of an uptick in the Treasury yields, pushing the EUR/USD pair below its 200-DMA located at 1.1233 levels.