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Markets Get A Fed--Ache While The Greenback Parties On

Published 03/20/2014, 03:53 AM

The markets erupted following the FOMC meeting which saw a hawkish speech from Fed Chair Yellen's talk of a rate hike by late 2015...

Markets

Money flowed into the Greenback and safe havens were dumped following FED Chair Yellen's talk of rate.

Gold saw it's 3rd consecutive bearish day and break below $1350 support to test the 200 day eMA, its largest sell-off in 6 months. Bond Yields shot up as money migrated away from bonds and into the USD, which is currently up 0.6% (it's most bullish day this year). 

  • AUD: AUD failed to make $0.914 before losing 0.92%, its largest single day loss in 7-weeks
  • USD: USD/CAD at 4.5yr highs; USDJPY broke above 102 resistance but 102.80 currently holding; 
  • EUR: EUR/USD didn't make it to 1.4 before breaking below 1.385 support. With increasing volume and saw reversal a deeper pullback is likely
  • GBP: Cable at 6-week lows but holding above 1.65 support; Unemployment down to -34.6k vs -23.6k expected; Jobless rate stable at 7.2%; 
  • CAD: Wholesale sales down at 0.8% vs 1.2% expected (lowest in 3-months) 
  • INDICES: Whilst US Equities sold off the losses are modest in comparison to FX pairs against USD and all held above swing lows formed this week; 
  • COMMODITIES: Metals all finished down against the Greenback with the exception of Copper, which saw a temporary reprieve to reject multi-year lows but remains below $2.99-$3.00 resistance; Brent, currently down  is now testing a 5-year trendline after
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