Investing.com - The dollar was broadly higher against the other main currencies on Thursday after the Federal Reserve said Wednesday that it will start tapering its economic stimulus program from next month.
USD/JPY was down 0.23% to 104.03 during European morning trade after rising as high as 104.35 earlier, the highest level since October 2008.
The Federal Reserve announced Wednesday that it would reduce its USD85 billion-a-month bond buying program by USD10 billion in January. In his last press conference as Fed Chairman Ben Bernanke said the economy was continuing to make progress.
The U.S. central bank reiterated that interest rates are likely to remain low even after the unemployment rate drops below 6.5%, the threshold at which the Fed has previously said it would start to consider rate increases.
The euro was trading close to two week lows against the dollar, with EUR/USD falling to lows of 1.3650, the weakest since December 6. The pair was last down 0.12% to 1.3668.
The pound was also lower against the dollar, with GBP/USD slipping 0.13% to 1.6368 ahead of U.K. data on retail sales due for release later in the session.
The dollar rose to almost two week highs against the Swiss franc, with USD/CHF rising 0.26% to 0.8961.
The greenback was trading near three-and-a-half year highs against the Australian and Canadian dollars, with AUD/USD dipping 0.04% to 0.8855 and USD/CAD up 0.18% to 1.0715.
The U.S. dollar was also higher against its New Zealand counterpart, with NZD/USD down 0.59% to 0.8188.
New Zealand’s dollar shrugged off data showing that the economy expanded by 1.4% in the third quarter, beating expectations for a 1.1% expansion, after an upwardly revised 0.3% increase in the three months to June.
The U.S. dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.11% to 80.17.
USD/JPY was down 0.23% to 104.03 during European morning trade after rising as high as 104.35 earlier, the highest level since October 2008.
The Federal Reserve announced Wednesday that it would reduce its USD85 billion-a-month bond buying program by USD10 billion in January. In his last press conference as Fed Chairman Ben Bernanke said the economy was continuing to make progress.
The U.S. central bank reiterated that interest rates are likely to remain low even after the unemployment rate drops below 6.5%, the threshold at which the Fed has previously said it would start to consider rate increases.
The euro was trading close to two week lows against the dollar, with EUR/USD falling to lows of 1.3650, the weakest since December 6. The pair was last down 0.12% to 1.3668.
The pound was also lower against the dollar, with GBP/USD slipping 0.13% to 1.6368 ahead of U.K. data on retail sales due for release later in the session.
The dollar rose to almost two week highs against the Swiss franc, with USD/CHF rising 0.26% to 0.8961.
The greenback was trading near three-and-a-half year highs against the Australian and Canadian dollars, with AUD/USD dipping 0.04% to 0.8855 and USD/CAD up 0.18% to 1.0715.
The U.S. dollar was also higher against its New Zealand counterpart, with NZD/USD down 0.59% to 0.8188.
New Zealand’s dollar shrugged off data showing that the economy expanded by 1.4% in the third quarter, beating expectations for a 1.1% expansion, after an upwardly revised 0.3% increase in the three months to June.
The U.S. dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.11% to 80.17.