Forexpros – The broadly weaker U.S. dollar was lower against the yen on Wednesday, amid speculation over more easing measures ahead of the conclusion of the Federal Reserve’s policy setting meeting later in the day. USD/JPY hit 78.07 during late Asian trade, the daily low; the pair subsequently consolidated at 78.11, shedding 0.34%. The pair was likely to find support at 77.85, the high of September 9 and resistance at 78.98, Tuesday’s high. The dollar came under pressure amid speculation that the Fed could revise down its forecasts for economic growth at the end of its two-day policy-setting meeting later Wednesday. Meanwhile, uncertainty over the debt crisis in the euro zone continued after Tuesday’s surprise announcement of a referendum on Greece’s bailout program. If Greece rejects the deal it would put the next tranche of aid to Athens in jeopardy, moving the country closer to a default and increasing the risk of contagion in global financial markets. Meanwhile, the yen was slightly lower against the euro, with EUR/JPY easing up 0.17% to hit 107.59. Also Wednesday, a senior Bank of Japan policymaker said one of the most serious downside risks to the Japanese economy was the negative effect of the debt crisis in the euro zone.

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