By November 2014, the bond buying program is expected to end altogether, which (in theory) should lead to higher US interest rates although Fed chief Janet Yellen previously stated that interest rates will remain low for a 'considerable time' after the bond-buying program has ended.

US Economy 2014

After a weak first quarter due to extreme cold winter weather, the US economy has been improving in the second quarter of 2014. The index consisting of the ten leading macroeconomic figures (which provides insight into the country’s economic conditions over the next three to six months) grew 0.3 percent in June 2014. Although this result was below analysts’ expectations (who projected a 0.5 percentage point growth), the May figure was adjusted to +0.7 percent. This index has been positive for the fifth consecutive month, which indicates not only short term US economic expansion but also possible accelerating growth in the second half of this year. Analysts expect that the US economy will grow about three percent (year-on-year) in the second quarter, particularly supported by increased consumer demand. If the US property market and corporate investments will improve then the US economy can accelerate further in the second half of 2014.

Ahead of today's release of the US Q2-2014 GDP growth result and FOMC rate decision, the US dollar was at a six-month peak against major currencies on Wednesday morning (30/07).