Dollar trades sideways before tax vote, Aussie falls after RBA

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Dollar trades sideways before tax vote, Aussie falls after RBA - Channel News Asia

Quick Summary:

TOKYO :The dollar traded sideways on Tuesday after declining for a week, hemmed in by the Federal Reserve's caution over the economy and as U.S.lawmakers came closer to passing a bill expected to widen the nation's fiscal deficit.

The Australian dollar fell 0.5 per cent to $0.6423, trimming a 0.8 per cent gain on Monday.

"We think that is potentially a driver for dollar weakness over the coming quarters as the market is likely to demand a higher premium to lend money to the U.S.," he added.