Investing.com - The dollar was steady against the yen on Wednesday, ahead of the much awaited Federal Reserve policy announcement later in the global day, amid widespread expectations for a small reduction to the bank’s stimulus program. USD/JPY hit 99.34 during late Asian trade, the session high; the pair subsequently consolidated at 99.17, inching up 0.05%. The pair was likely to find support at 98.44, Monday’s low and an eight-month low and resistance at 99.97, the high of September 13. Investors were focused on the outcome of the Fed’s two-day policy meeting, due to conclude later Wednesday. The central bank was expected to announce plans to start reducing its USD85 billion-a-month asset purchase program. The dollar remained under pressure after a recent series of soft economic data, including the latest U.S. jobs report, saw investors reassess expectations over how much the Fed will cut its stimulus program. The yen was fractionally lower against the euro, with EUR/JPY edging up 0.08% to 132.50. The single currency continued to be underpinned after data released on Tuesday showed that the closely watched ZEW index of German economic sentiment rose to the highest level since April 2010 in September, on the back of the improved economic outlook for the euro zone. The U.S. was to release data on building permits and housing starts later Wednesday, ahead of the Fed policy announcement.

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