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26 Aug 2014
Slightly more optimistic Yellen pushes USD higher - UBS
FXStreet (Córdoba) - The UBS team notes the USD rally should have further to go as the Fed stance is turning more optimistic.
Key Quotes
“The long awaited speech by Fed Chair Yellen at Jackson Hole turned out as a repetition of the more optimistic Fed minutes published on Wednesday”.
“After the Fed minutes we wrote that the market reaction was rather muted, compared to the positive tone of the minutes, but also that we understand that the market didn’t want to position too hawkish to prevent being caught wrong footed by a dovish Yellen”.
“As Yellen, if anything, surprised more optimistic, the USD rally should have further to go”.
Key Quotes
“The long awaited speech by Fed Chair Yellen at Jackson Hole turned out as a repetition of the more optimistic Fed minutes published on Wednesday”.
“After the Fed minutes we wrote that the market reaction was rather muted, compared to the positive tone of the minutes, but also that we understand that the market didn’t want to position too hawkish to prevent being caught wrong footed by a dovish Yellen”.
“As Yellen, if anything, surprised more optimistic, the USD rally should have further to go”.