The Dollar Elevated but Endures near Seven-week low Amid Fed policy Decision

The Dollar Elevated but Endures near Seven-week low Amid Fed policy Decision

The dollar was up on Tuesday morning in Asia, although, stayed near multi-week lows as U.S. Treasury yields sink. Most investors consolidate positions ere the U.S. Federal Reserve’s most advanced policy decision.

The U.S. Dollar Index traces the greenback slightly up by 0.14% to 90.907 against the basket of other currencies.

The USD/JPY pair slightly up 0.15% to 108.25, with U.S. currency climbing up 0.1% with ongoing inclination from Friday’s seven-week low of 107.48.

The Bank of Japan kept its interest rates the same at 0.10% at the time of releasing the policy decision earlier in the day with the expectations of Investors.

The AUD/USD pair inched down 0.12% to 0.7790.
The NZD/USD pair inched down 0.14% to 0.7224.
The USD/CNY pair slightly up 0.03% to 6.4863.
The GBP/USD pair edged down 0.06% to 1.3888.
The euro dropped down 0.1% to $1.2078 but remained near the one-month high of $1.2117 hit on Monday.

The dollar has declined nearly 3% since late March 2021, as U.S. Treasury yields remain untouched in restricted areas after escaping from their 14-month high of 1.7760%. The benchmark 10-year U.S. Treasury yield hovered near 1.58% on Tuesday.

Investors are looking forward to the Fed’s decision on Wednesday, keenly waiting for the comments from Chairman Jerome Powell. Mostly the questions will be in regards to enhanced economic outlook justifies removal of monetary easing by the central bank.

The dollar has declined nearly 3% since late March 2021, as U.S. Treasury yields remain untouched in restricted areas after escaping from their 14-month high of 1.7760%. The benchmark 10-year U.S. Treasury yield hovered near 1.58% on Tuesday.