Investing.com - The dollar was higher against the yen and the euro on Wednesday, as demand for the greenback strengthened ahead of the minutes of the Federal Reserve's most recent policy meeting.
The dollar rose against the yen, with USD/JPY up 0.35% to 104.96.
The dollar found support after data on Tuesday showed that the U.S. trade deficit shrank to the lowest level in four years in November as exports rose to a record high.
Investors remained focused on the minutes of the Fed’s December meeting, due for release later Wednesday, for indications on the possible timing of further reductions in the bank’s stimulus program.
Investors were also eyeing Friday’s U.S. nonfarm report for December for indications of the strength of the recovery in the labor market.
The euro edged lower against the dollar, with EUR/USD down 0.07% to 1.3606.
In the euro zone, data showed that the bloc's unemployment rate held steady at a seasonally adjusted 12.1% in November, in line with expectations and unchanged from October.
A separate report showed that retail sales in the euro zone jumped by a seasonally adjusted 1.4% in November, easily surpassing expectations for a 0.2% gain. Retail sales fell 0.4% in October, whose figure was revised from a previously reported decline of 0.2%.
The pound was higher against the dollar, with GBP/USD adding 0.10% to 1.6417, even as data showed that U.K. house prices fell for the first time in 11 months in December.
Mortgage lender Halifax said house prices fell by 0.6% last month, compared to expectations for a 0.6% increase. However, prices were still up by 1.9% in the last three months 2013, compared to the third quarter.
The dollar was little changed against the Swiss franc, with USD/CHF inching 0.06% higher to 0.9097.
The greenback was broadly higher against the Australian, New Zealand and Canadian dollars, with AUD/USD slipping 0.10% to 0.8918, NZD/USD down 0.10% to 0.8276 and USD/CAD climbing 0.48% to 1.0818.
The U.S. dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.14% to 81.12.
Later in the day, the U.S. was to release the ADP report on private sector job creation.
The dollar rose against the yen, with USD/JPY up 0.35% to 104.96.
The dollar found support after data on Tuesday showed that the U.S. trade deficit shrank to the lowest level in four years in November as exports rose to a record high.
Investors remained focused on the minutes of the Fed’s December meeting, due for release later Wednesday, for indications on the possible timing of further reductions in the bank’s stimulus program.
Investors were also eyeing Friday’s U.S. nonfarm report for December for indications of the strength of the recovery in the labor market.
The euro edged lower against the dollar, with EUR/USD down 0.07% to 1.3606.
In the euro zone, data showed that the bloc's unemployment rate held steady at a seasonally adjusted 12.1% in November, in line with expectations and unchanged from October.
A separate report showed that retail sales in the euro zone jumped by a seasonally adjusted 1.4% in November, easily surpassing expectations for a 0.2% gain. Retail sales fell 0.4% in October, whose figure was revised from a previously reported decline of 0.2%.
The pound was higher against the dollar, with GBP/USD adding 0.10% to 1.6417, even as data showed that U.K. house prices fell for the first time in 11 months in December.
Mortgage lender Halifax said house prices fell by 0.6% last month, compared to expectations for a 0.6% increase. However, prices were still up by 1.9% in the last three months 2013, compared to the third quarter.
The dollar was little changed against the Swiss franc, with USD/CHF inching 0.06% higher to 0.9097.
The greenback was broadly higher against the Australian, New Zealand and Canadian dollars, with AUD/USD slipping 0.10% to 0.8918, NZD/USD down 0.10% to 0.8276 and USD/CAD climbing 0.48% to 1.0818.
The U.S. dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.14% to 81.12.
Later in the day, the U.S. was to release the ADP report on private sector job creation.