Investing.com - The dollar was steady against the euro and the yen on Wednesday as investors looked ahead to testimony on monetary policy by Federal Reserve Chair Janet Yellen later in the trading day.
EUR/USD was at 1.1002, little changed for the day, holding below Tuesday’s highs of 1.1083.
The dollar had weakened against the other major currencies on Tuesday when data showed that U.S. retail sales unexpectedly fell last month.
The Commerce Department said retail sales fell 0.3% in June, compared to expectations for a 0.2% increase.
The disappointing data fueled concerns over the outlook for the economic recovery and tempered expectations for higher interest rates.
Investors were looking ahead to testimony to Congress by Fed head Janet Yellen later Wednesday for fresh indications on the possible timing of an initial rate hike.
Late week Ms. Yellen said the central bank was on track to raise interest rates later this year.
The euro remained under pressure as investors waited to see if the Greek parliament would support harsh austerity measures demanded by the country’s creditors in order to secure a third bailout deal.
Four pieces of legislation must be passed by the end of the day on Wednesday, including pension and sales tax reforms.
On Tuesday the International Monetary Fund warned that Greece will need far more debt relief than is currently on offer from its creditors, adding to the fierce debate in the euro zone about the draconian conditions attached to bailout deal.
USD/JPY edged up 0.11% to 123.53, recovering from Tuesday’s lows of 122.90.
The euro was fractionally higher against the yen, with EUR/JPY edging up 0.08%to 135.96.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was little changed for the day at 96.80.