Dollar steady against euro ahead of Fed decision

The US dollar held relatively steady against the euro, trading at $1.4805 to the euro ahead of the Fed‘s decision to cut interest rates to 3 percent as investors tried to figure out what conflicting reports on the US economy meant.

The Commerce Department reported that the US economy grew by only 0.6 percent in the fourth quarter, half of the growth that had been anticipates,‘

On the other hand, a private report from ADP Employer Services said that 130,000 jobs were created in the US this month.

The yen was weaker ahead of the Fed‘s decision, trading at ¥107.2150 to the dollar, at ¥158.7371 to the euro and at ¥213.0791 at nearly 2 p.m. in New York.

Meanwhile the Swiss franc, which is also sensitive to investors’ willingness to enter into risky deals, was higher against most major currencies on more losses in credit markets, trading at SFr1.0913 to the US dollar, at SFr1.6158 to the euro and at ¥98.2407 to the franc.

The Polish zloty gained on the euro and the US dollar on higher interest rates and an expanding economy, trading at 2.4413 zloty to the greenback and at 3.6138 zloty to the euro in afternoon trade in New York.

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