Flash: Don’t expect any Fed tapering until early 2014 – ANZ

FXstreet.com (Barcelona) - “It would be neat and convenient to suggest that the strong global currency moves over the past week or so are primarily based on expectations that the Fed might taper its bond purchases soon,” says Head of Global Markets Research at ANZ Richard Yetsenga, although “Certainly our economists don’t expect any Fed tapering until early 2014,” Richard warns.

“The recent fall in inflation indicators is supportive of that call, as are the underlying signs of further repair still needed in the US labour market,” the analyst concludes.