Dollar mixed in Asia ahead of Fed meeting
TOKYO: The dollar was mixed in Asia Monday ahead of a Federal Reserve policy meeting, with a weak batch of data raising expectations the bank will keep its stimulus programme in place until next year.
In Tokyo morning trade the greenback bought 97.59 yen, up from 97.43 yen in New York Friday afternoon, while the euro rose to $1.3812 and 134.75 yen from $1.3805 and 134.50 yen.
The Fed’s two-day monetary policy meeting opens Tuesday and investors will pore over its decision for an idea of when it will start cutting back its $85 billion a month bond buying scheme.
There had been widespread belief it would begin tapering by December at the latest but analysts say weak jobs data and this month’s government shutdown has made that unlikely.
On Friday, official figures showed a 3.7 percent jump in US durable goods orders. However, excluding transportation equipment, orders fell 0.1 percent, while core capital goods orders, a sign of future business investment, fell 1.1 percent.
The central bank has said any tapering hinges on a firm recovery in the world’s biggest economy.
“The US dollar remains on the back foot, finding little help from data releases, especially last week’s September employment report,” Credit Agricole said.
“Friday’s release of September durable goods orders similarly disappointed, with core orders coming in weaker than anticipated.” -- AFP