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Forex pairs in this Article » EUR/USD, USD/JPY
FXstreet.com (Córdoba) - The TD Securities team thinks the USD should continue to strengthen versus the CAD, JPY and EUR while the Fed taper process leaves US monetary policy settings looking relatively less accommodative than central banks in Canada, Japan in the Eurozone.

Key Quotes

"Long-term US bond rates edged a little lower after the rather upbeat Beige Book's contents were divulged. There was little to really be disappointed about though—especially considering where sentiment was on Friday morning after payrolls—as this was a broadly upbeat report".

"Perhaps investors were a bit disappointed that there was no strong pointer to an acceleration in the taper process as attention starts to fall on the January 29th FOMC".

"We think the USD should continue to strengthen versus the CAD, JPY and EUR while the Fed taper process leaves US monetary policy settings looking relatively less accommodative than central banks in Canada, Japan in the Eurozone".

"Tapering will tighten global USD liquidity and support the USD broadly. DXY index gains through the 81.25/45 area in the next week or two should signal scope for more gains".
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