Investing.com - The dollar remained broadly higher against the other major currencies on Wednesday, after the release of mostly positive U.S. data and as investors eyed the Federal Reserve’s highly-anticipated policy statement due later in the day.
USD/JPY gained 0.44% to 113.65.
The U.S. Commerce Department said that housing starts rose 5.2% in February to hit 1.178 million units from January’s total of 1.120 million units, an upward revision from the initial 1.099 million. Analysts had expected a rise 4.6% to 1.150 million.
Meanwhile, the number of building permits issued declined 3.1% to 1.202 million units last month from January’s 1.204 million. Economists had forecast a drop of 0.1% to 1.167 million units in February.
A separate report showed that the U.S. consumer price index fell by 0.2% in February, matching expectations and following a flat reading in January.
Year-over-year, consumer prices were 1.0% higher, above expectations for a 0.9% increase.
Core CPI, which excludes food and energy, increased at annualized rate of 2.3% last month, compared to expectations for a 2.2% gain.
Investors were eyeing the conclusion of the Fed’s two day policy meeting later Wednesday, with most investors expecting no change given recent signs of weakness in the global economy.
EUR/USD slipped 0.20% to 1.1086.
The dollar was higher against the pound and the Swiss franc, with GBP/USD down 0.49% at 1.4083 and with USD/CHF rising 0.20% to 0.9891.
Earlier Wednesday, the U.K. Office for National Statistics said that the unemployment rate held at 5.1% in the three months to January, in line with expectations.
The U.K. claimant count fell by 18,000 in February, compared to expectations for a decrease of 9,100 people, and following a drop of 28.400 a month earlier.
Meanwhile, the average earnings index, including bonuses, rose by 2.1% in the three months January, above forecasts for a 2.0% increase.
Excluding bonuses, wages rose by 2.2%, above expectations for a 2.1% gain.
Meanwhile, the Australian and New Zealand dollars turned lower, with AUD/USD down 0.42% at 0.7427 and with NZD/USD shedding 0.26% to 0.6583.
USD/CAD rose 0.25% to 1.3389.
Statistics Canada reported on Wednesday that manufacturing sales increased by 2.3% in January, beating expectations for a 0.5% gain. Manufacturing sales rose 1.4% in December, whose figure was revised from a previously estimated 1.2% increase.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.31% at 96.95, the highest since March 10.