Investing.com – The U.S. dollar was broadly lower against the other major currencies on Tuesday, amid uncertainty over the scale and potential impact of fresh monetary easing by the Federal Reserve.
During European morning trade, the greenback was down against the euro, with EUR/USD advancing 0.61% to hit 1.3979.
The greenback was also down against the Swiss franc with USD/CHF shedding 0.65% to hit 0.9852.
But the greenback was up against the pound, with GBP/USD shedding 0.10% to hit 1.6018. Earlier in the day, data showed that the U.K. construction PMI fell significantly more than expected in October.
The greenback was also up against the yen with USD/JPY rising 0.16% to hit 80.62 after Japan’s finance minister said his government "will take decisive steps when necessary" to curb the yen’s sharp gains.
Elsewhere, the greenback was down against its Canadian, Australian and New Zealand counterparts, with USD/CAD shedding 0.42% to hit 1.0108, AUD/USD leaping 1.28% to hit 0.9998 and NZD/USD rising 0.31% to hit 0.7694.
Earlier in the day, the Reserve Bank of Australia unexpectedly raised its Official Cash Rate by a quarter of a percentage point to 4.75% amid concern that stronger growth will cause inflation to accelerate. It was the bank’s first rate increase in six months.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.54%.
Later in the day, Federal Reserve policy makers were to begin their 2-day November policy meeting, which was widely expected to result in the unveiling of fresh monetary easing.
During European morning trade, the greenback was down against the euro, with EUR/USD advancing 0.61% to hit 1.3979.
The greenback was also down against the Swiss franc with USD/CHF shedding 0.65% to hit 0.9852.
But the greenback was up against the pound, with GBP/USD shedding 0.10% to hit 1.6018. Earlier in the day, data showed that the U.K. construction PMI fell significantly more than expected in October.
The greenback was also up against the yen with USD/JPY rising 0.16% to hit 80.62 after Japan’s finance minister said his government "will take decisive steps when necessary" to curb the yen’s sharp gains.
Elsewhere, the greenback was down against its Canadian, Australian and New Zealand counterparts, with USD/CAD shedding 0.42% to hit 1.0108, AUD/USD leaping 1.28% to hit 0.9998 and NZD/USD rising 0.31% to hit 0.7694.
Earlier in the day, the Reserve Bank of Australia unexpectedly raised its Official Cash Rate by a quarter of a percentage point to 4.75% amid concern that stronger growth will cause inflation to accelerate. It was the bank’s first rate increase in six months.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.54%.
Later in the day, Federal Reserve policy makers were to begin their 2-day November policy meeting, which was widely expected to result in the unveiling of fresh monetary easing.