As expected, Bernanke is highlighting weaker growth but is not offering any new easing measures to counteract it. It is very likely that the Fed will reinvest the proceeds of their maturing bonds and the pre-pays on their mortgage-backed securities portfolio.
EUR/USD rallied to the 1.4695 area but is holding below the 1.4700 barrier still. I would not expect any bomb-shells in the Q&A. The man’s hands are tied…
Stocks are not happy that Uncle Ben did not arrive with a bag of candy. They have lost all their gains. Beware a risk-off sell off in EUR/USD…