Analysts comment on the Fed

Westpac: “I don't blame the market as seeing (the comments) as surprisingly dovish. It is a big setback for dollar bulls.”

Saxo Bank: “The economy is doing well enough to encourage equity markets about future earnings, but not too hot to cause the Fed to remove accommodation.”

Citigroup: “Despite the Fed’s cautiousness last night, the US growth story is still the most compelling among the major economies. The US cyclical leadership will continue to support the dollar. We think that it would take significant deterioration in US.data to see Fed actually backing away from scaling back or withdrawing quantitative easing.”

Bank of Tokyo-Mitsubishi UFJ: “The many FOMC voices seem all over the map, yet they do agree the labor market improvement looks more sustainable now than it did at the time of the QE launch. This means to us that the program’s days are numbered.”

BNP Paribas: “There’s still a clear bias to taper but I think they’ve taken just a baby step back from the strength of that bias and data will matter from here. It’s not just hiring, it’s GDP and inflation that will factor into the equation.”

HSBC: “There had actually been very little difference in Bernanke's wording compared with last month’s Fed press conference, and that the volatility was down to markets' habit of overreacting.”

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