20 Mar 2014
US dollar consolidating gains - BBH
FXStreet (Guatemala) - Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman explained that the US dollar is consolidating yesterday's dramatic gains against the major foreign currencies.
Key Quotes
“Prior to the outcome of the FOMC meeting, we had accepted that even as the Fed shifted from a threshold approach to forward guidance to a more qualitative approach, the goal of the new chair would be to underscore continuity."
"The way we suggested Yellen's performance could be evaluated was by having little change in market expectations for the first rate hike, which previously was in late Q3 or Q4, depend the instrument one looked at and the interpolation. By that measure, yesterday was a flop."
Key Quotes
“Prior to the outcome of the FOMC meeting, we had accepted that even as the Fed shifted from a threshold approach to forward guidance to a more qualitative approach, the goal of the new chair would be to underscore continuity."
"The way we suggested Yellen's performance could be evaluated was by having little change in market expectations for the first rate hike, which previously was in late Q3 or Q4, depend the instrument one looked at and the interpolation. By that measure, yesterday was a flop."