As reported at 2:56 p.m. (JST), on March 16, 2009 in Tokyo, the U.S. Dollar rose broadly today, with investors looking ahead to this week’s policy meeting by the Federal Reserve Bank, following the recently ended meeting by the Group of 20 finance ministers.
The Federal Reserve Bank and the Japanese central bank will hold policy decisions later this week, with investors waiting to see whether or not the Federal Reserve will signal during its meeting that it will purchase longer-dated Treasuries to assist in keeping interest rates down.
According to some dealers, the U.S. Dollar's gains of today were driven in part by technical trading after the Dollar bounced from its day's lows. The gains were not attributed to the G20 meeting. In fact, according to one analyst, the meeting of the G20 has very little impact on foreign exchange markets.
The Euro fell by 0.3% against the U.S. Dollar and traded at $1.2892. The U.S. Dollar rose by 0.2% against the Japanese Yen and traded at 98.20 Yen, after surging to a high of 98.50 Yen because of demand by Japanese importers. The Euro fell slightly by 0.1% against the Japanese Yen and trade at 126.60 Yen.