QE3 Likely to be Put Off — For Now

FOMC meeting likely to be a non-event

Right now, most markets are trading on the latest news to come out of the eurozone — whatever that news ends up being. As a result, the conclusion of the two-day FOMC meeting is likely to be pretty low-key.

With the latest release of ADP data showing that jobs were added to the economy in October, it is unlikely that the Fed will announce any new stimulus measures, so QE3 is put off for now.

The euro is likely to retain its recent strength in forex trading, and the U.S. dollar is likely to remain somewhat weak, since there is little demand for safe haven today. However, things could easily change if Greece rejects the terms of the eurozone bailout and if things descende further into chaos. For now, though, traders are taking a breather. 

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• Economic News and Euro in Forex Trading
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