NEW YORK: The dollar was little changed on Wednesday as traders awaited the conclusion of a US Federal Reserve meeting in which investors will be looking for any sign of response from central bank policymakers to the jump in US inflation.
The Fed concludes its policy meeting later in the day and will release new economic projections along with a policy statement at 2 p.m. EDT (1800 GMT).
The US Dollar Currency Index, which measures the greenback against a basket of six currencies, was 0.014% lower at 90.52. The index hit a one-month high on Tuesday after data pointed to higher inflation.
Risk-sensitive currencies were slightly higher, with the New Zealand dollar up 0.38% at $0.7146 and the Australian dollar - which is seen as a proxy for risk appetite - up 0.3% at $0.7708.
Sterling strengthened against the dollar on Wednesday after data showed British inflation unexpectedly jumped above the Bank of England’s 2% target in May, sparking some concerns that policymakers may start signaling a shift in policy thinking if prices shoot up further.
Meanwhile, bitcoin’s recent rally appeared to run out of steam, as the world’s largest cryptocurrency fell 2.72% to $39,078.38.
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