The euro gained marginal ground vis-à-vis the U.S. dollar today as the single currency tested offers around the US$ 1.4185 level and was supported around the $1.4110 level. Most traders believe the Federal Open Market Committee will keep interest rates unchanged when its policy decision is announced tomorrow. Many economists believe the FOMC will keep interest rates unchanged through at least 2010 on account of the global credit crisis. Traders are curious to see if the Fed changes any significant verbiage in its statement and gives any further clues about unwinding its massive monetary stimuli. The Fed€™s balance sheet is currently right around the US$ 2 trillion level and has been declining over the past few weeks, an indication it is gradually reducing some of its quantitative easing programs. One program that traders are paying close attention to is the Fed€™s purchase of U.S. Treasury securities. It is expected the Fed will allow its current US$ 300 billion purchase program to expire when that amount is reached, likely in September. There is speculation the Fed will be actively discussing pending problems in the U.S. commercial real estate market. There is an expectation the sector could worsen significantly early next year. Fed Chairman Bernanke recently noted the Fed is €œpaying very close attention€ to the sector and highlighted €œincreased vacancy, declining rents, and falling prices.€ Data released in the U.S. today saw Q2 non-farm productivity improve 6.4% from a downwardly revised Q1 reading of 0.3%. While these data mean U.S. workers are becoming more productive, they also signify higher productivity is coincident with considerably higher unemployment. Q2 labour costs were off 5.8%, down from a revised -2.7% in Q1, and June wholesale inventories were off 1.7%, down from a revised -1.2% in May. In eurozone news, the German July wholesale price index was off 0.5% m/m and 10.6% y/y while the July consumer price index was unchanged m/m and off 0.5% y/y. Euro bids are cited around the US$ 1.3900 figure.