Investing.com - The dollar rallied against the yen on Thursday after the Bank of Japan aggressively stepped up easing measures while markets awaited rate decisions from the European Central Bank and the Bank of England.
During European late morning trade, the dollar posed steep gains against the yen, with USD/JPY advancing 2.68% to 95.53.
The BoJ, under the leadership of newly appointed Governor Haruhiko Kuroda, said it plans to double its asset purchase program over the next two years and extend the maturities of the bonds it purchases.
The dollar was trading close to four-month highs against the euro, with EUR/USD falling 0.35% to 1.2803.
The ECB was not widely expected to announce any changes to monetary policy on Thursday.
Investors remained wary ahead of comments from President Mario Draghi at the bank’s post-policy meeting press conference amid concerns over the deteriorating economic outlook for the currency bloc and worries over the possible implications of the bailout deal for Cyprus.
The dollar was near two-week highs against the pound, with GBP/USD down 0.46% to 1.5062.
Sterling found support earlier after data showing that the U.K. service sector expanded at the fastest pace in seven months in March fuelled hopes that the economy will narrowly avoid a triple-dip recession.
The Markit/CIPS services purchasing managers’ index rose to 52.4 from a reading of 51.8 in February, compared to expectations for a decline to 51.5.
The BoE was expected to keep monetary policy unchanged after its meeting later Thursday.
The dollar was higher against the Swiss franc, with USD/CHF rising 0.49% to 0.9499.
The greenback was also higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD edging up 0.02% to 1.0149, AUD/USD dropping 0.50% to 1.0408 and NZD/USD losing 0.54% to trade at 0.8370.
The Australian dollar was trading close to two-month highs earlier after official data showed that Australian retail sales rose 1.3% in February, far exceeding forecasts for as 0.3% gain, after rising by 1.2% in January.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.54% to an almost eight-month high of 83.42.
The U.S. was to release government data on initial jobless claims later Thursday and Federal Reserve Chairman Ben Bernanke was to speak.
During European late morning trade, the dollar posed steep gains against the yen, with USD/JPY advancing 2.68% to 95.53.
The BoJ, under the leadership of newly appointed Governor Haruhiko Kuroda, said it plans to double its asset purchase program over the next two years and extend the maturities of the bonds it purchases.
The dollar was trading close to four-month highs against the euro, with EUR/USD falling 0.35% to 1.2803.
The ECB was not widely expected to announce any changes to monetary policy on Thursday.
Investors remained wary ahead of comments from President Mario Draghi at the bank’s post-policy meeting press conference amid concerns over the deteriorating economic outlook for the currency bloc and worries over the possible implications of the bailout deal for Cyprus.
The dollar was near two-week highs against the pound, with GBP/USD down 0.46% to 1.5062.
Sterling found support earlier after data showing that the U.K. service sector expanded at the fastest pace in seven months in March fuelled hopes that the economy will narrowly avoid a triple-dip recession.
The Markit/CIPS services purchasing managers’ index rose to 52.4 from a reading of 51.8 in February, compared to expectations for a decline to 51.5.
The BoE was expected to keep monetary policy unchanged after its meeting later Thursday.
The dollar was higher against the Swiss franc, with USD/CHF rising 0.49% to 0.9499.
The greenback was also higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD edging up 0.02% to 1.0149, AUD/USD dropping 0.50% to 1.0408 and NZD/USD losing 0.54% to trade at 0.8370.
The Australian dollar was trading close to two-month highs earlier after official data showed that Australian retail sales rose 1.3% in February, far exceeding forecasts for as 0.3% gain, after rising by 1.2% in January.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.54% to an almost eight-month high of 83.42.
The U.S. was to release government data on initial jobless claims later Thursday and Federal Reserve Chairman Ben Bernanke was to speak.