U.S. Dollar Edges Higher Before Fed Meeting

The dollar fluttered higher in Asia on Tuesday, but was kept to a narrow range by caution ahead of this week’s U.S. Federal Reserve meeting and concern about escalating violence in Iraq.

By contrast, the Australian dollar was one of the session’s biggest movers, slipping after minutes of the central Reserve Bank of Australia’s June 3 meeting revealed that policymakers were unsure if their stimulus would be sufficient.

The Australian dollar slipped more than a quarter of U.S. cent to a session low of $0.9354, and was last down 0.4 percent at $0.9358 (0.551393 pound).  “The Aussie came off after the RBA, as these comments are quite dovish,” said Bart Wakabayashi, head of foreign exchange for State Street Global Markets in Tokyo.

Reuters

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.