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Forex - Dollar Index Still on the Downside in Quiet Trade

Published 10/11/2017, 08:23 AM
© Reuters.  Dollar remains broadly lower vs. rivals, eyes on Fed minutes
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Investing.com - The dollar remained lower against other major counterparts in quiet trade on Wednesday, hovering near a more than one-week low as doubts over a potential U.S. tax overhaul before the end of the year continued to weigh on the greenback.

The greenback came under pressure as U.S. President Donald Trump's public feud with Tennessee Senator and fellow Republican Bob Corker sparked concerns over the vote of a major tax-code reform.

Market participants were also looking ahead to the minutes of the Federal Reserve's most recent policy meeting, due to be released later in the day.

At its September meeting, the Fed had signaled the possibility of a third rate hike t his year.

EUR/USD added 0.21% to 1.1834, its highest since September 26, as Spanish political tensions temporarily eased.

Catalan President Carles Puigdemont on Tuesday signed a document proclaiming the region's independence from Spain, but he also suspended the move for the coming weeks to allow for talks with the Spanish government, averting an immediate crisis.

The Spanish government was scheduled toconvene in Madrid on Wednesday to shore up its response to the Catalan independence movement.

Elsewhere, GBP/USD slipped 0.11% to 1.3190.

The yen remained higher, with USD/JPY down 0.27% at 112.14, while USD/CHF eased 0.09% to 0.9740.

The Australian and New Zealand dollars were stronger, with AUD/USD up 0.19% at 0.7792 and with NZD/USD adding 0.11% to 0.7077.

Meanwhile, USD/CAD eased 0.09% to 1.2505.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.11% at 92.99 by 08:20 a.m. ET (12:20 GMT), the lowest since October 2.

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