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EUR/USD nose-dives to 1.2670 post-FOMC

FXStreet (Edinburgh) - The single currency is getting hammered on Wednesday, dragging EUR/USD to fresh intraday lows in the 1.2680/70 band.

EUR/USD weaker after Fed

Broadly in line with consensus, the Committee announced the final taper of $10 billion in Treasuries and $5 bilion in MBS, ending the QE3 programme started 2 years ago. The Fed kept rates unchanged at 0.00-0.25%, matching estimates. Selling interest is now mounting around the euro, pushing spot to challenge weekly lows around 1.2670.

EUR/USD relevant levels

The pair is now losing 0.48% at 1.2673 with the next support at 1.2665 (low Oct.27). On the upside, the initial hurdle aligns at 1.2765 (high Oct.28) followed by 1.2841 (high Oct.21) and then 1.2845 (high Oct.16).

Gold declines below USD 1220

Gold prices have dipped below the USD 1220/Oz levels after the Federal Reserve announced the end of its monthly bond purchase program, while mentioning that the interest rates would continue to remain at the record low levels for a considerable period of time.
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