The FOMC Report Disspointed The Market

The EUR/USD is ranging today after climbing yesterday. Last night, the FOMC meeting minutes were released. Federal Reserve officials noted that the quantitative easing should end in October, which many investors already expect. However, they also noted that despite very bullish labor market data, the interest rate was going to remain unchanged for some time. This caused the dollar to decline substantially due as many traders thought the rate would be increased. For now, the pair should continue ranging. Be sure to look out for the ECB monthly report at 8:00 GMT and the US Initial Jobless Claims before 12:30 GMT.

The USD/JPY fell yesterday as the dollar took a hit from the FOMC minutes. Today, the pair is ranging and may continue to do so until US data comes out later. Since there is no data coming out for Japan today, activity on the dollar  will be the prime source of movement on the pair. In the meantime, look for support at 101.50 and resistance at 101.85.