The dollar lost ground against major currencies on Wednesday as markets gear up for the conclusion of the Bank of Japan and European Central Bank’s latest policy meeting.
The BOJ is widely expected to boost its bond buying and extend the maturities of the debt it buys.
Against the yen, the dollar slipped 0.5% to ¥92.94 after skidding to a low of ¥92.69.
Meanwhile the ECB is widely expected to leave interest rates unchanged on Thursday despite growing support for a further cut in interest rates.
The euro was up 0.2% at $1.2848 ahead of the ECB monthly policy meeting.
The dollar index, which measures the US dollar against a basket of six others, fell 0.31% at 82.83 after a disappointing ADP report and ISM Non Manufacturing.
The ISM institute’s non-manufacturing sector survey fell to 54.4 for March, lower than the expected 56.0 reading. The data follows weak US manufacturing data at the start of the week and a contraction in manufacturing activity in the Eurozone during March.
Risk appetite was also diluted by a weaker-than-expected ADP National Employment Report. ADP reported a 158,000 increase in jobs, well below the consensus forecast of 200,000.
