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After Fed’s fresh history of 9 years, Dollar dealing in direct quotes to flourish and indirect quotes to languish

Yes, deal done as per the much anticipated economic phenomenon.

Fed finally lifts off its interest rates by 25 bps at 0.50% since 2006.

Furthermore, Policy makers separately forecast an appropriate rate of 1.375 percent at the end of 2016, the same as September, implying four quarter-point increases in the target range next year.

Wells Fargo has already increased their prime rate to 3.5%.

Glimpse on FX radar:

Our anticipations: The antipodeans, GBP/USD and EUR/USD to slump in short, medium and long run respectively.

While, USD/JPY, USD/CHF and USD/CAD to spike up in short, medium and long run respectively.

Commodity outlook:

WTI: Don't dare to buck the trend as it has no buying sentiments until 2016, OPEC is yet to make necessary adjustments, as the EIA's inventories have again missed the forecasts (4.8 mln vs -1.8 mln).

Overnight, the US Congress agreed to completely abolish the ban on US crude oil exports, which has been in place for 40 years.

Voting on this is yet to take place, after which US President Obama will still have to sign the law.

Having said that, the impact on the market should be limited, for the price differential between Brent and WTI must at least cover the costs of transport by pipeline from the Midwest to the US Gulf Coast for US light oil to be of any interest to international consumers.

Gold: Although we see steep jumps in gold prices we are bullish in this yellow metal only a decisive breach above 1085.

Otherwise, we don't see significant change in long run but standing pat with our earlier estimate of dipping towards $1000 a ounce.

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