Investing.com - The dollar fell against the yen on Wednesday as investors avoided the greenback ahead of the Federal Reserve's monetary policy meeting next week.
Uncertainty over whether or not the U.S. central bank will announce plans to scale back its USD85 billion in monthly bond purchases pushed the dollar lower against its Japanese counterpart.
In U.S. trading on Wednesday, USD/JPY was trading at 102.55, down 0.29%, up from a session low of 102.18 and off a high of 102.95.
The pair was likely to find support at 101.62, Thursday's low, and resistance at 103.39, Tuesday's high.
A surprisingly strong November jobs report bolstered the dollar in recent sessions by fanning talk the Fed may announce plans to taper the pace of its USD85 billion in monthly bond purchases at its Dec. 17-18 monetary policy meeting.
Elsewhere, lawmakers agreed on a way out of a budget impasse that could clear up U.S. fiscal uncertainties and convince the Fed it no longer needs to support the economy with monetary tools.
Senate Democrats and Republicans agreed on a deal setting a 2014 budget at USD1.012 trillion, and a 2015 budget at USD1.014 trillion in a fiscal plan that would reduce automatic spending cuts and deficit levels by USD23 billion over two years.
Still, a general murkiness as to whether or not the U.S. central bank will wait until early 2014 after reviewing more economic indicators before deciding on tapering softened the greenback on Wednesday.
The yen was up against the pound and up against the euro, with GBP/JPY down 0.63% and trading at 168.06 and EUR/JPY trading down 0.04% at 141.48.
On Thursday, the U.S. is to produce data on retail sales as well as the weekly report on initial jobless claims.
Uncertainty over whether or not the U.S. central bank will announce plans to scale back its USD85 billion in monthly bond purchases pushed the dollar lower against its Japanese counterpart.
In U.S. trading on Wednesday, USD/JPY was trading at 102.55, down 0.29%, up from a session low of 102.18 and off a high of 102.95.
The pair was likely to find support at 101.62, Thursday's low, and resistance at 103.39, Tuesday's high.
A surprisingly strong November jobs report bolstered the dollar in recent sessions by fanning talk the Fed may announce plans to taper the pace of its USD85 billion in monthly bond purchases at its Dec. 17-18 monetary policy meeting.
Elsewhere, lawmakers agreed on a way out of a budget impasse that could clear up U.S. fiscal uncertainties and convince the Fed it no longer needs to support the economy with monetary tools.
Senate Democrats and Republicans agreed on a deal setting a 2014 budget at USD1.012 trillion, and a 2015 budget at USD1.014 trillion in a fiscal plan that would reduce automatic spending cuts and deficit levels by USD23 billion over two years.
Still, a general murkiness as to whether or not the U.S. central bank will wait until early 2014 after reviewing more economic indicators before deciding on tapering softened the greenback on Wednesday.
The yen was up against the pound and up against the euro, with GBP/JPY down 0.63% and trading at 168.06 and EUR/JPY trading down 0.04% at 141.48.
On Thursday, the U.S. is to produce data on retail sales as well as the weekly report on initial jobless claims.