The dollar was broadly higher on Wednesday as geopolitical risks kept markets on edge and investors awaited minutes from the Federal Reserve for signals on future rate cuts. The yen slid after U.S. President Donald Trump announced the first tranche of mega-investments Tokyo is making in the United States. The Reuters Inside Track newsletter is your essential guide to the biggest events in global sport. Sign up here. The kiwi dollar slumped after the Reserve Bank of New Zealand held pat on rates and said policy would need to remain accommodative. Advertisement · Scroll to continue
The euro was steady after a report that Christine Lagarde is expected to leave as president of the European Central Bank (ECB) before the end of her term. Iran said progress had been made in nuclear talks with the U.S. in Geneva, while peace negotiations between Ukraine and Russia continued. With many markets in Asia closed for Lunar New Year holidays, investors were looking ahead to the Fed's readout of its last meeting and other key U.S. economic data for trading catalysts. "We're seeing a bit of dollar strength in context of the FOMC minutes, durable goods, and maybe just squaring up some shorts ahead of that," said IG market analyst Tony Sycamore. "But I just feel like we're in a bit of a holding pattern."
