As the end of the Fed’s QE2 planned in June approaches, the markets are speculation on how it will influence the future dynamics of US dollar. It’s necessary to note that the QE2 has an enormous psychological meaning seen as the sing of the Fed’s commitment to support the economy.

Reuters’ poll of 64 analysts and fund managers shows that investors expect stocks, bonds, gold and euro to fall in 3 months after the Federal Reserve's $600-bilion bond buying program expires in June. Investors fear that when the Fed stops supporting the market, investments that have been profitable for the last 9 months will plummet undermining the confidence in the nation’s economic recovery.

40 respondents believe that the end of quantitative easing will send up 10-year Treasury yields. 36 of surveyed experts claim that the markets ware to become more volatile. 38 participants think that US dollar will rise versus euro. At least half of the respondents expect oil and gold prices to fall further in the third quarter. Nearly half of participants also expect US and emerging markets stocks to fall (Standard & Poor's 500 index and the MSCI Emerging Market stock index). According to the median forecast from 59 economists, the probability of a third round of quantitative easing is estimated only by 10%.