Investing.com - The dollar was mixed against the other major currencies on Tuesday as uncertainty over U.S. monetary policy weighed on sentiment, while the euro dipped after German business confidence improved less-than-expected in September, but still rose to the highest level since March 2012.
During European late morning trade, the dollar slipped lower against the yen, with USD/JPY edging down 0.04% to 98.81 after rising as high as 99.18 earlier.
The dollar remained under pressure after New York Federal Reserve President William Dudley defended last week’s decision by the U.S central bank to keep its stimulus program on track, saying that the pace of the U.S. economic recovery remains insufficient to start tapering.
Dudley said that adjustments to the Fed’s USD85 billion-a-month asset purchase program "need to be anchored in an assessment of how the economy is actually performing”.
The Fed said last week that it wanted to see more evidence of a sustained economic recovery before it adjusted the scale of its bond buying program. The decision surprised markets, which had been expecting a modest reduction to the bank’s stimulus program.
Elsewhere, the euro drifted lower against the dollar, with EUR/USD dipping 0.06% to 1.3485.
Sentiment on the single currency remained fragile after European Central Bank President Mario Draghi said Monday the bank is ready to inject further liquidity into the region’s banking sector if needed, in order to safeguard the bloc’s recovery.
Data released on Tuesday showed that the German Ifo business climate index ticked up to 107.7 from 107.6 in August, but came in below expectations for a reading of 108.2.
The dollar pushed higher against the pound and the Swiss franc, with GBP/USD sliding 0.35% to 1.5988 and USD/CHF easing up 0.12% to 0.9118.
Elsewhere, the greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD down 0.45% to 0.9388, NZD/USD tumbling 1.05% to 0.8284 and USD/CAD inching up 0.07% to trade at 1.0291.
The Australian and New Zealand dollars fell as declines in global equities markets curbed investor demand for riskier assets.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, edged up 0.11% to 80.67.
The U.S. was to release data on house price inflation and consumer confidence later in the trading day.
During European late morning trade, the dollar slipped lower against the yen, with USD/JPY edging down 0.04% to 98.81 after rising as high as 99.18 earlier.
The dollar remained under pressure after New York Federal Reserve President William Dudley defended last week’s decision by the U.S central bank to keep its stimulus program on track, saying that the pace of the U.S. economic recovery remains insufficient to start tapering.
Dudley said that adjustments to the Fed’s USD85 billion-a-month asset purchase program "need to be anchored in an assessment of how the economy is actually performing”.
The Fed said last week that it wanted to see more evidence of a sustained economic recovery before it adjusted the scale of its bond buying program. The decision surprised markets, which had been expecting a modest reduction to the bank’s stimulus program.
Elsewhere, the euro drifted lower against the dollar, with EUR/USD dipping 0.06% to 1.3485.
Sentiment on the single currency remained fragile after European Central Bank President Mario Draghi said Monday the bank is ready to inject further liquidity into the region’s banking sector if needed, in order to safeguard the bloc’s recovery.
Data released on Tuesday showed that the German Ifo business climate index ticked up to 107.7 from 107.6 in August, but came in below expectations for a reading of 108.2.
The dollar pushed higher against the pound and the Swiss franc, with GBP/USD sliding 0.35% to 1.5988 and USD/CHF easing up 0.12% to 0.9118.
Elsewhere, the greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD down 0.45% to 0.9388, NZD/USD tumbling 1.05% to 0.8284 and USD/CAD inching up 0.07% to trade at 1.0291.
The Australian and New Zealand dollars fell as declines in global equities markets curbed investor demand for riskier assets.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, edged up 0.11% to 80.67.
The U.S. was to release data on house price inflation and consumer confidence later in the trading day.