Investing.com - The dollar was mixed against the other major currencies on Wednesday, after the release of tepid U.S. durable goods data as investors remained cautious amid ongoing uncertainty over the future of the Federal Reserve's monetary policy.
During European afternoon trade, the dollar edged lower against the yen, with USD/JPY down 0.09% to 98.66.
In a report, the Census Bureau said that U.S. core durable goods orders, excluding transportation items, fell 0.1% in August, disappointing expectations for a 1% increase, after an upwardly revised 0.5% rise the previous month.
Durable goods orders in the U.S. rose 0.1% lasr month, compared to expectations for a 0.2% increase, following a downwardly revised 8.1% decline in July.
Investor sentiment remained negative following last week’s unexpected decision by the Federal Reserve to keep its USD85 billion-a-month asset purchase program on track.
The Fed said it wanted to see more evidence of a sustained economic recovery before it reduced stimulus. The decision surprised markets, which had been expecting a modest reduction in bond buying.
Data on Tuesday underlined concerns over the outlook for the U.S. economic recovery. U.S. house prices were higher in July, but consumer confidence slipped lower in September, amid fears over whether economic momentum can be maintained in the months ahead.
Elsewhere, the euro was higher against the dollar, with EUR/USD rising 0.24% to 1.3505.
The single currency found support after data showed that German consumer confidence is seen rising to the highest level since June 2007 in October.
The forward looking GfK index of German consumer confidence rose to 7.1, and this month’s reading was revised up from 6.9 to 7.
The dollar was lower against the pound and the Swiss franc, with GBP/USD gaining 0.30% to 1.6050 and USD/CHF slipping 0.22% to trade at 0.9109.
Sterling was boosted after a report compiled by the Confederation of British Industry showed that its retail sales index rose to 34.0 in September from 27.0 last month, the highest level since June 2012. Analysts had expected the index to decline to 24.0.
Elsewhere, the greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD shedding 0.27% to 0.9365, NZD/USD retreating 0.55% to 0.8237 and USD/CAD adding 0.12% to 1.0313.
In New Zealand, data showed that the trade deficit widened to NZD1,191 million in August, from a deficit of NZD774 million the previous month. Analysts had expected the trade deficit to narrow to NZD743 million.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.14% to 80.58.
Later in the day, the U.S. was to release a report on new home sales.
During European afternoon trade, the dollar edged lower against the yen, with USD/JPY down 0.09% to 98.66.
In a report, the Census Bureau said that U.S. core durable goods orders, excluding transportation items, fell 0.1% in August, disappointing expectations for a 1% increase, after an upwardly revised 0.5% rise the previous month.
Durable goods orders in the U.S. rose 0.1% lasr month, compared to expectations for a 0.2% increase, following a downwardly revised 8.1% decline in July.
Investor sentiment remained negative following last week’s unexpected decision by the Federal Reserve to keep its USD85 billion-a-month asset purchase program on track.
The Fed said it wanted to see more evidence of a sustained economic recovery before it reduced stimulus. The decision surprised markets, which had been expecting a modest reduction in bond buying.
Data on Tuesday underlined concerns over the outlook for the U.S. economic recovery. U.S. house prices were higher in July, but consumer confidence slipped lower in September, amid fears over whether economic momentum can be maintained in the months ahead.
Elsewhere, the euro was higher against the dollar, with EUR/USD rising 0.24% to 1.3505.
The single currency found support after data showed that German consumer confidence is seen rising to the highest level since June 2007 in October.
The forward looking GfK index of German consumer confidence rose to 7.1, and this month’s reading was revised up from 6.9 to 7.
The dollar was lower against the pound and the Swiss franc, with GBP/USD gaining 0.30% to 1.6050 and USD/CHF slipping 0.22% to trade at 0.9109.
Sterling was boosted after a report compiled by the Confederation of British Industry showed that its retail sales index rose to 34.0 in September from 27.0 last month, the highest level since June 2012. Analysts had expected the index to decline to 24.0.
Elsewhere, the greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD shedding 0.27% to 0.9365, NZD/USD retreating 0.55% to 0.8237 and USD/CAD adding 0.12% to 1.0313.
In New Zealand, data showed that the trade deficit widened to NZD1,191 million in August, from a deficit of NZD774 million the previous month. Analysts had expected the trade deficit to narrow to NZD743 million.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.14% to 80.58.
Later in the day, the U.S. was to release a report on new home sales.