If that is true then perhaps the bets by the placed large hedge funds, traders, and institutions is that the Fed will extend the QE a little longer. If yes then our market is likely to have an injection of money from overseas and a we should see the AUD and SP's rise accross the board and AGO would be picked up in that.
If not, and QE is tappered then the would appear that the USD will strengthen and leave the Aussie really now where to go but down, weakening to say $0.85-7 cents to the US. So, coupled with the IO price around $USD130-5 this would make AGO still in good position going into 2014.
From my view point I think it may be positive to the AGO shares what ever happens. Happy to have my simple theory de-bunked.
AGO Price at posting:
$1.16 Sentiment: Hold Disclosure: Held
