Investing.com – The U.S. dollar was up against most of the other major currencies on Wednesday, after the U.S. Federal Reserve announced plans to reinvest funds from maturing mortgage bonds into government debt.
During European morning trade, the greenback was up against the euro, with EUR/USD tumbling 1.00% to hit 1.3044.
Late Tuesday, the Federal Reserve's Open Market Committee said that growth "has slowed in recent months," and warned "the pace of economic recovery is likely to be more modest in the near term than had been anticipated."
The greenback was up against the pound, with GBP/USD falling 0.84% to hit 1.5720.
Earlier in the day, U.K. Office for National Statistics siad the number of people claiming unemployment benefits in Britain fell less-than-expected in July.
The greenback was also up against the Swiss franc, with USD/CHF gaining 0.58% to hit 1.0541.
Meanwhile, the greenback was up against its Canadian, Australian and New Zealand counterparts, with USD/CAD gaining 0.50% to hit 1.0362, AUD/USD dropping 1.19% to hit 0.9127 and NZD/USD plummeting 0.96% to hit 0.7170.
But the greenback was down against the yen with USD/JPY shedding 0.31% to hit 85.17.
Earlier in the day, Japanese finance minister, Yoshihiko Noda signaled growing concern about the yens sharp gains against the U.S. dollar saying, “We will keep a close watch on the market and pay closer attention to it.”
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.79%.
Later in the day, the U.S. was to publish its trade balance as well as the federal budget balance.
During European morning trade, the greenback was up against the euro, with EUR/USD tumbling 1.00% to hit 1.3044.
Late Tuesday, the Federal Reserve's Open Market Committee said that growth "has slowed in recent months," and warned "the pace of economic recovery is likely to be more modest in the near term than had been anticipated."
The greenback was up against the pound, with GBP/USD falling 0.84% to hit 1.5720.
Earlier in the day, U.K. Office for National Statistics siad the number of people claiming unemployment benefits in Britain fell less-than-expected in July.
The greenback was also up against the Swiss franc, with USD/CHF gaining 0.58% to hit 1.0541.
Meanwhile, the greenback was up against its Canadian, Australian and New Zealand counterparts, with USD/CAD gaining 0.50% to hit 1.0362, AUD/USD dropping 1.19% to hit 0.9127 and NZD/USD plummeting 0.96% to hit 0.7170.
But the greenback was down against the yen with USD/JPY shedding 0.31% to hit 85.17.
Earlier in the day, Japanese finance minister, Yoshihiko Noda signaled growing concern about the yens sharp gains against the U.S. dollar saying, “We will keep a close watch on the market and pay closer attention to it.”
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.79%.
Later in the day, the U.S. was to publish its trade balance as well as the federal budget balance.