US dollar ticks up ahead of Fed meeting
The U.S. dollar edged up against the yen and euro Wednesday ahead of the Federal Reserve wrapping up its latest policy meeting, while Greece’s precarious debt talks were also in focus.
In Tokyo, the greenback fetched 123.54 yen, rising from 123.36 yen in New York, while the euro was at US$ 1.1246 and 138.96 yen against US$1.1251 and 138.79.
Few expect the Fed to launch its first rate increase in nine years when the meeting wraps up later Wednesday with a statement and press conference by its chair Janet Yellen.
But it could signal how confident the central bank is in the U.S. economy’s rebound since a first-quarter contraction, and whether it is prepared to launch into an expected series of rate increases as early as September.
Fears that Athens will default and possibly crash out of the eurozone increased Tuesday when Greek Prime Minister Alexis Tsipras accused creditors of trying to “humiliate” his country and said the IMF bore “criminal responsibility” for austerity measures that plunged it into recession.
The dollar was mixed against other Asia- Pacific currencies.
It weakened to SG$ 1.3440 from SG$1.3463 on Tuesday, to 33.68 Thai baht from 33.69 baht, and to 1,117.15 South Korean won from 1,118.35 won.
It firmed to 64.18 Indian rupees from to 64.08 rupees, to 45.12 Philippine pesos from 45.10 pesos, and to 13,363 Indonesian rupiah from 13,346 rupiah.
The Australian dollar eased to 77.20 U.S. cents from 77.65 cents, while the Chinese yuan was unchanged at 19.87 yen.