Dollar is holding its breath

The dollar settled largely against other major currencies on Wednesday, after falling in the previous session following US data that indicated a lull in wage pressures, while investors awaited the conclusion of the Federal Reserve’s policy meeting.

The US central bank is expected to raise interest rates by 25 basis points later on Wednesday, but Fed Chairman Jerome Powell’s press conference is likely to capture attention as traders seek clues as to how long the Fed’s tightening tendency is likely to last.

The dollar index, which tracks the greenback’s performance against six other major currencies, fell 0.029 percent to 102.060.

The index fell 0.16 percent in the previous session, partly due to a report showing that labor costs in the United States increased in the fourth quarter at their slowest pace in a year.

The euro fell 0.03% to $1.0859, while the pound sterling recorded in its latest transactions $1.231, down 0.08% on Wednesday.

The Japanese yen rose 0.10 percent against the dollar to 129.98 per dollar.