FXS: CURRENCIES Dollar Drops Vs. Yen, British Pound
CURRENCIES: Dollar Drops Vs. Yen, British Pound
By Lisa Twaronite
The dollar declined against the yen and the British pound on Thursday, though the greenback moved up against the euro ahead of a rate decision in Frankfurt.
The British pound gained ground following the Bank of England's decision to expand its quantitative easing program by 25 billion pounds. Some in the market had expected an even bigger expansion of the program that buys up gilts and other assets.
Interest rates in the U.K. were kept at a record low of 0.5%.
The pound (CUR_GBPUSD) rose 0.2% to $1.6593.
Separately, the European Central Bank on Thursday is expected to stand pat on rates when its rate-setting Governing Council meets in Frankfurt. The decision will be announced at 7:45 a.m. Eastern, followed by ECB President Jean-Claude Trichet's monthly news conference at 8:30 a.m.
The euro traded 0.3% lower to $1.4838.
The dollar bought 90.30 yen, down from 90.64 yen late Wednesday, as U.S. stock futures traded around the unchanged mark.
On Wednesday, the dollar lost some ground against major counterparts after the Federal Reserve left interest rates unchanged near zero and kept its commitment to exceptionally low rates.
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