Dollar erases losses vs euro as Bernanke speaks

NEW YORK: The US dollar erased its losses against the euro to trade slightly higher in mid-afternoon trade on Wednesday as investors digested comments by Federal Reserve Chairman Ben Bernanke.

The euro last traded at $1.2682, down slightly on the day. It traded around $1.2710 before Bernanke's press conference started.

Bernanke said the Fed is prepared to take further steps if necessary to promote growth and support the labor market. Earlier, the US central bank expanded its "Operation Twist" program and sharply downgraded its economic growth forecasts.