FED Stays Out In Latest Period Makes It Nine Months Running

REGULATIONS

The Federal Reserve Bank of New York announced last week that it kept its hands out of the foreign exchange market during the three month period ended January 31. This is the first time in four years that the Fed has refrained from intervening in the open market for nine consecutive months.

While this streak apparently came to an end last month (FX Week, February 22), the Fed is clearly taking a lower profile in the foreign exchange market. Analysts say that there are a number of reasons

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