The end of QE3 - What analysts and economists say

SINGAPORE - THE US Federal Reserve ended its asset-buying exercise, commonly known as quantitative easing at its latest meeting that ended overnight on Thursday. How are economists reading this long-anticipated move?

- Vote of confidence for the US economy: ABN Amro

The move signals an optimism about the US economy. Members of the US Federal Open Market Committee said that there were "solid job gains and a lower unemployment rate" and noted that "underutilisation of labour resources is gradually diminishing". In fact, they even see strength in the US' broader economy going forward.

- But don't get carried away by the optimism: OSK-DMG

Will the move inject more volatility into the financial markets? Does the Fed's move sufficiently take into account global developments?

- Fragile Five: IG Markets

Last year emerging markets were hit on news that the Fed might begin unwinding its asset purchases. In Asia, this makes India and Indonesia - along with Brazil, South Africa and Turkey - countries to watch. These are the members of the 'fragile five' club, emerging market economies that are overly reliant on foreign investments to cover current account deficits and finance growth. Capital outflows could see their currencies weaken substantially.