Investing.com - The dollar was almost unchanged against the euro and the yen on Tuesday after data showed that the annual rate of inflation in the U.S. rose less than expected in November.
During European afternoon trade, EUR/USD dipped 0.02% to 1.3758, off session highs of 1.3782.
The Department of Labor said consumer prices were flat in November after falling 0.1% in October.
The annual rate of inflation rose 1.2% last month, undershooting expectations for an increase of 1.3%, but was up from a four year low of 1.0% in October.
Market sentiment remained subdued ahead of the outcome of the Federal Reserve’s two-day policy meeting on Wednesday, with some expecting the bank to announce a small reduction in the pace of its USD85 billion-a-month asset purchase program.
USD/JPY hit session lows of 102.88, down from Friday’s five year highs of 103.91, and was last down 0.05% to 102.96.
The pound was slightly lower against the dollar, with GBP/USD slipping 0.11% to 1.6281.
Earlier Tuesday, data showed that the annual rate of inflation in the U.K. fell to a four year low of 2.1% in November, easing pressure on the Bank of England to tighten monetary policy.
The dollar was trading close to two year lows against the Swiss franc, with USD/CHF easing up 0.09% to 0.8879, holding above the lows of 0.8839 struck last Wednesday.
The Australian dollar fell to three-and-a-half month lows against the U.S. dollar, with AUD/USD down 0.37% to 0.8914.
Earlier Tuesday, the minutes of the Reserve Bank of Australia’s December meeting left the door open for further rate cuts, but said it was important to first see the effects of earlier cuts.
The U.S. dollar was mixed against its New Zealand and Canadian counterparts, with NZD/USD up 0.16% to 0.8270 and USD/CAD dipping 0.06% to 1.0590.
Canadian manufacturing sales rose 1.0% in October, data on Tuesday showed, defying expectations for a 0.2% decline.
The U.S. dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, edged up 0.06% to 80.29.
During European afternoon trade, EUR/USD dipped 0.02% to 1.3758, off session highs of 1.3782.
The Department of Labor said consumer prices were flat in November after falling 0.1% in October.
The annual rate of inflation rose 1.2% last month, undershooting expectations for an increase of 1.3%, but was up from a four year low of 1.0% in October.
Market sentiment remained subdued ahead of the outcome of the Federal Reserve’s two-day policy meeting on Wednesday, with some expecting the bank to announce a small reduction in the pace of its USD85 billion-a-month asset purchase program.
USD/JPY hit session lows of 102.88, down from Friday’s five year highs of 103.91, and was last down 0.05% to 102.96.
The pound was slightly lower against the dollar, with GBP/USD slipping 0.11% to 1.6281.
Earlier Tuesday, data showed that the annual rate of inflation in the U.K. fell to a four year low of 2.1% in November, easing pressure on the Bank of England to tighten monetary policy.
The dollar was trading close to two year lows against the Swiss franc, with USD/CHF easing up 0.09% to 0.8879, holding above the lows of 0.8839 struck last Wednesday.
The Australian dollar fell to three-and-a-half month lows against the U.S. dollar, with AUD/USD down 0.37% to 0.8914.
Earlier Tuesday, the minutes of the Reserve Bank of Australia’s December meeting left the door open for further rate cuts, but said it was important to first see the effects of earlier cuts.
The U.S. dollar was mixed against its New Zealand and Canadian counterparts, with NZD/USD up 0.16% to 0.8270 and USD/CAD dipping 0.06% to 1.0590.
Canadian manufacturing sales rose 1.0% in October, data on Tuesday showed, defying expectations for a 0.2% decline.
The U.S. dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, edged up 0.06% to 80.29.