Fed QE taper delayed until March 2014 - Bloomberg survey

FXstreet.com (Barcelona) - The Fed's failure to communicate the timing of its QE taper start has been a major setback for US Dollar buyers, first expecting the reduction of bond purchases in July/Aug, then expectations were moved to Sept, forwarded to Dec/Jan, and just last week we learned that Bloomberg survey has most economists not expecting it until March 2014.

A Bloomberg reports: "Policy makers will pare the monthly pace of asset buying to $70 billion from $85 billion at their March 18-19 meeting, according to the median of 40 responses in a Bloomberg News survey of economists. The 16-day budget impasse in Washington reduced growth by 0.3 percentage point this quarter, economists said in the survey."

Bloomberg added: "The U.S. central bank will reduce monthly purchases to a $25 billion pace by July and end the program at the October 2014 meeting, according to the survey conducted this week."