Market Was Disappointed by Fed Minutes Not Offering Any Insight

Minutes of the US Federal Reserve’s July meeting revealed few clues about the central bank’s timeline for unwinding its extraordinary efforts to support the US economy.

Officials said they were “broadly comfortable” with plans to scale back the Fed’s $85bn (£54bn) a month bond-buying programme.

However, the timing remains murky.

Almost all agreed a change in the programme was “not yet appropriate” but “a few” favoured swift action.

Fed officials said that recent economic data had been “mixed”, which could indicate that plans to begin the so-called “taper” might be put off if the economy were to weaken.

The central bankers will reconvene on 17 September for a two-day meeting, which will be followed by a press conference by chairman Ben Bernanke.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza