Investing.com - The euro slid against the dollar on Wednesday to trade at almost two-and-a-half month lows ahead of minutes from the Federal Reserve’s April meeting.
EUR/USD was down 0.29% to 1.3660, not far from the two-and-a-half month lows of 1.3647 reached late last week.
The pair was likely to find near-term support at 1.3647 and resistance at 1.3722, the session high.
Investors were turning their attention to of the minutes from the Fed’s latest monetary policy meeting for insight on the central bank's view of the economy.
The Fed has been tapering its asset purchase program this year, amid signs that the recovery in the labor market is continuing, but has also reiterated that rates are likely to remain at record lows for a considerable time after the stimulus program ends.
On Tuesday, New York Fed President William Dudley reiterated the central bank’s dovish stance, saying the pace of rate hikes was likely to be “slow”.
The euro remained under pressure amid expectations that the European Central Bank will ease monetary policy at its next meeting in June and after data last week showing that the euro zone economy grew at a slower than forecast rate in the first quarter.
Elsewhere, the dollar rebounded from three-and-a-half month lows against the yen, with USD/JPY climbing 0.15% to 101.48.
The pair fell to lows of 101.83 earlier Wednesday, the weakest since February 5, after the Bank of Japan indicated that additional easing is not imminent.
The BoJ said its stimulus program has been working as intended and that the economy is showing signs of weathering the impact of a sales tax increase that came into effect on April 1.
The euro was lower against the dollar, with EUR/JPY sliding 0.14% to 138.64 after falling to lows of 138.15 earlier, the weakest since February 5.