Investing.com - The U.S. dollar hit a four-month high against the yen on Thursday, amid speculation over more easing by the Bank of Japan, but remained broadly lower against the other major currencies as market sentiment firmed up.
During European morning trade, the dollar was lower against the euro, with EUR/USD up 0.33% to 1.3014.
In its rate statement on Wednesday, the Federal Reserve said the U.S. economy is improving moderately, but said job growth has been slow and the unemployment rate remains elevated.
The central bank also said it planned to keep its benchmark short-term rate close to zero through mid-2015.
Sentiment on the euro remained fragile as investors awaited any indication that Spain is moving closer to formally requesting a bailout from its euro zone partners and activating the European Central Bank’s bond purchasing plan.
The greenback was lower against the pound, with GBP/USD up 0.56% to 1.6128.
In the U.K., official data showed that the economy expanded by 1.0% in the three months to September, pulling the economy out of the longest double dip recession since 1955 and outstripping expectations for a 0.6% gain.
Elsewhere, the greenback hit a four-month high against the yen, with USD/JPY up 0.43% to 80.14, but weakened against the Swiss franc, with USD/CHF sliding 0.30% to 0.9295.
The yen remained broadly weaker amid mounting speculation over the possibility of more easing by the BoJ at its upcoming policy meeting on October 30.
The greenback was broadly lower against its Canadian, Australian and New Zealand counterparts, with USD/CAD down 0.21% to 0.9913, AUD/USD climbing 0.43% to 1.0386 and NZD/USD rising 0.38% to 0.8234.
Earlier Thursday, the Reserve Bank of New Zealand kept its benchmark interest rate unchanged at 2.5%, marking Governor Graeme Wheeler's first decision as head of the central bank, after replacing Alan Bollard in late September.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.23% to 79.81.
Later Thursday, the U.S. was to release official data on durable goods orders, as well as reports on pending home sales and initial jobless claims.
During European morning trade, the dollar was lower against the euro, with EUR/USD up 0.33% to 1.3014.
In its rate statement on Wednesday, the Federal Reserve said the U.S. economy is improving moderately, but said job growth has been slow and the unemployment rate remains elevated.
The central bank also said it planned to keep its benchmark short-term rate close to zero through mid-2015.
Sentiment on the euro remained fragile as investors awaited any indication that Spain is moving closer to formally requesting a bailout from its euro zone partners and activating the European Central Bank’s bond purchasing plan.
The greenback was lower against the pound, with GBP/USD up 0.56% to 1.6128.
In the U.K., official data showed that the economy expanded by 1.0% in the three months to September, pulling the economy out of the longest double dip recession since 1955 and outstripping expectations for a 0.6% gain.
Elsewhere, the greenback hit a four-month high against the yen, with USD/JPY up 0.43% to 80.14, but weakened against the Swiss franc, with USD/CHF sliding 0.30% to 0.9295.
The yen remained broadly weaker amid mounting speculation over the possibility of more easing by the BoJ at its upcoming policy meeting on October 30.
The greenback was broadly lower against its Canadian, Australian and New Zealand counterparts, with USD/CAD down 0.21% to 0.9913, AUD/USD climbing 0.43% to 1.0386 and NZD/USD rising 0.38% to 0.8234.
Earlier Thursday, the Reserve Bank of New Zealand kept its benchmark interest rate unchanged at 2.5%, marking Governor Graeme Wheeler's first decision as head of the central bank, after replacing Alan Bollard in late September.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.23% to 79.81.
Later Thursday, the U.S. was to release official data on durable goods orders, as well as reports on pending home sales and initial jobless claims.