Update: The US FOMC announced a further reduction to their program of $10bn ($5bn in Treasuries and $5bn in MBS)

Update: The US FOMC announced a further reduction to their program of $10bn ($5bn in Treasuries and $5bn in MBS). It also removed the 6.5% threshold for unemployment from its forward guidance, now saying it will look at a wide range of indicators consistent with its longer-run goals of maximum employment and inflation of 2.0%. In Australia today, the RBA releases its monthly FX transactions data. Gold prices fell around 2%, while US equities sold off moderately. The UK government released its 2014 budget which was supportive for GBP. Tonight, US jobless claims are expected to be higher at 322K last week from 315K the previous week, while existing home sales are forecast to fall 0.4% in February after the 5.1% decline in January, again a victim of bad weather. The Philadelphia Fed Index is expected to improve in March after the big fall in February.