LONDON: The euro was steady against the dollar Wednesday after topping $1.45 earlier as the market tried to find direction after a flat US retail sales report, dealers said.
They said the US data suggested the US Federal Reserve would be in no hurry to follow the European Central Bank and hike interest rates to fight inflation.
In late London trade, the euro was at $1.4478, coming off a high of $1.4520 and compared with $1.4477 in New York late Tuesday, as the currency held around levels last seen in January 2010.
Against the Japanese currency, the dollar edged up to 83.67 yen from 83.56 yen late on Tuesday.
"The dollar remains under selling pressure against most major currencies in the foreign exchange market... with few developments to alter the current perceptions in regard to monetary policy outlooks," said Derek Halpenny, European head of global currency research at The Bank of Tokyo-Mitsubishi UFJ.
Halpenny said that after the ECB hike rates last week for the first time in nearly three years, the Fed was likely to maintain its ultra-low borrowing costs.
"The tentative evidence of some moderating growth in the US will no doubt strengthen the case being put forward by" some Fed policymakers to also continue the US central bank's stimulus programme until June.
"That suggests continued selling of the dollar, especially against currencies where central banks are actively tightening," Halpenny said.
Two top Fed officials, including vice chair Janet Yellen, had on Monday played down the threat of rising inflation, saying commodity price rises were "transitory" and not enough to warrant a tightening of the policy.
Later on Wednesday, the Fed will publish its periodic Beige Book assessment of regional economies in the United States which investors will study closely for their next lead on the economic and monetary policy outlook.
In London, the euro changed hands at $1.4478 against $1.4477 late in New York on Tuesday, at 121.11 yen (120.98), £0.8883 (0.8904) and 1.2929 Swiss francs (1.2986).
The dollar stood at 83.67 yen (83.56) and 0.8932 Swiss francs (0.8968).
The pound was at $1.6293 (1.6257).
On the London Bullion Market, the price of gold rose to $1,457.50 an ounce from $1,452 late Tuesday.
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