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Forex pairs in this Article » EUR/USD, USD/JPY
FXstreet.com (San Francisco) - Market has welcomed Janeth Yellen nomination as new chairwoman and her dovish tone with rallies in stocks and the USD/JPY. The Dow and the S&P closed at record highs and the USD/JPY finished the day just above the 100.00 key mark.

Yellen confirmed in her testimony before the Senate Banking Committee that her idea is to continue the current Fed's policy and extend the QE as she said that it is "important not to remove support too soon" and that there are "dangers of ending the QE too quickly." it seems Yellen will be a Bernanke 2.0.

The first chairwoman in the Fed's history affirmed that the "benefits of QE still exceed the costs" and there is not timeline on QE taper. Yellen also remarked that the Fed doesn’t see "a buildup that poses a risk to financial stability at this point."

Meanwhile, the US stocks market welcomed Yellen dovish tone and a bad jobless claims report helped to build the non-taper case.

On currencies, The Euro traded slightly lower against the US Dollar on Thursday after three positive days with the pair testing 1.3415 earlier in the day and closing the day at 1.3455. According to FXstreet.com chief analyst Valeria Bednarik, the EUR/USD "needs either to establish above 1.3510 or accelerate below 1.3380 for clearer directional clues.

The USD/JPY jumped around 100 pips on the day after rising from 99.15 to break above 100.00 and touch 2-month highs at 100.15. Now the pair trades at 100.05.
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