Bernanke Holds Off on Quantitave Easing

- Bernanke echoed Yellen's concern for growth, unemployment, view on subdued inflation, as well as the need for "maintain a highly accommodative stance of monetary policy"

- However, he did not affirm Quantitative Easing as many have come to expect after recent economic data. But of course, this method of monetary stimulus should remain in the cards until the pace of recovery picks up...

- Instead he the FOMC will continue to "reinvest principal received from its holdings of agency debt and agency mortgage-backed securities (MBS) in agency MBS and to roll over its maturing Treasury holdings at auction."

Official Statement: (html)

The USD has stalled its recent decline after this statement, EUR/USD falling from 1.2620 area, GBP/USD falling from 1.56, and AUD/USD falling from 1.0.

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