No Taper by the Fed, interest rates could stay near 0% till 2015

The FOMC decided at its meeting no throttling of bond purchases. According to a majority of FOMC members interest rates by the Fed could remain until the year 2015 at the current level close to 0%.

Economic Growth uncertain

Fed Chairman Ben S. Bernanke said in his statement to the decision of the FOMC, the signs of a permanently stable growth in the eyes of the FOMC are not clearly enough. He noted that the program for the purchase of bonds was an essential support to stabilize the U.S. economy and job creation in recent months. A reduction of the current scale can therefore only come into question if the economy shows a secured growth.

Rate increase only at a unemployment rate under 6.5%

In their statement about raising rates, the Fed has negated its previous stance a little. Has been spoken of, that interest rates will be raised only if the unemployment rate fell to 6.5%, this should now only happen if this mark is broken. This looks at first glance only a minimal change in the representation, upon closer examination, however, striking that the Fed has opened a door with this statement, not to rise interest rates at a certain rate.

USD with sharp losses

Immediately after the publication of the USD has fallen sharply in all pairs. The pair EUR/USD shows a current increase of 1.13% at 1.3508 and the GBP/USD rising 1.22% to 1.6098 to date. Against JPY the U.S. Dollar shows a current loss of 0.99% at 98.13.

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