31 Oct 2013
Flash: FOMC to begin taper at some point in coming quarters - Nomura
FXstreet.com (Barcelona) - The FOMC did nothing that changed Nomura's expectations for monetary policy, says Lewis Alexander, Economist at Nomura.
Key Quotes
"Today‟s FOMC has not changed our expectations for Federal Reserve Policy. We continue to believe that the FOMC is likely to begin to reduce the pace of its asset purchases at some point in the coming quarters."
"This change will be driven by three broad set of factors: an acceleration of economy activity reflected in hard data; further declines in labor market slack, reflected in the unemployment rate and other labor market indicators; and rising concerns that the benefits of additional asset purchases do not outweigh the costs. Members of the Committee do not see these issues in the same way and they may vote to reduce the pace of asset purchases for different reasons."
Key Quotes
"Today‟s FOMC has not changed our expectations for Federal Reserve Policy. We continue to believe that the FOMC is likely to begin to reduce the pace of its asset purchases at some point in the coming quarters."
"This change will be driven by three broad set of factors: an acceleration of economy activity reflected in hard data; further declines in labor market slack, reflected in the unemployment rate and other labor market indicators; and rising concerns that the benefits of additional asset purchases do not outweigh the costs. Members of the Committee do not see these issues in the same way and they may vote to reduce the pace of asset purchases for different reasons."