Dollar Trades Weaker as Euro Gains on German Vote
A dollar gauge erased earlier gains to trade marginally weaker, while the euro gained after German lawmakers passed a landmark spending package. The yen was steady ahead of Bank of Japan policy decision. Both the BOJ and Federal Reserve are expected to keep borrowing costs unchanged Wednesday, with traders waiting for any guidance on further rate moves.
The Bloomberg Dollar Spot Index fell less than 0.1%, after rising as much as 0.3% earlier on better-than-expected US housing starts and import price data.
EUR/USD rose 0.3% to 1.0949, at a five-month high.
AUD/USD fell 0.3% to 0.6364.
The Australian dollar was Tuesday’s worst performing Group-of-10 currency against the greenback.
GBP/USD rose 0.1% to 1.3007, trading above 1.30 on Tuesday for the first time since November.
USD/JPY little changed at 149.19.
The BOJ began a two-day meeting at which policymakers are forecast to keep rates on hold amid concern over threats to global growth.
Source: Bloomberg
