Investing.com - The dollar remained broadly lower against the other major currencies on Tuesday, as the release of disappointing U.S. economic reports dampened demand for the greenback and as investors remained cautious ahead of the Federal Reserve’s policy statement on Wednesday.
USD/JPY held steady at 111.12.
The Conference Board reported on Tuesday that its index of consumer confidence fell to 94.2 this month from a reading of 96.1 in March, whose figure was revised from a previously reported 96.2. Analysts expected the index to inch down to 96.0 in April.
The data came after the U.S. Commerce Department said that total durable goods orders rose 0.8% last month, compared to expectations for a increase of 1.8%. February's orders were revised down to a decrease of 3.1% from a previously reported 3.0% decline.
Core durable goods orders, which exclude volatile transportation items, slipped 0.2% last month, compared to forecasts for a 0.5% increase. February's core durable goods orders had shown a 1.3% decline.
Sentiment on the greenback also remained under pressure ahead of the Fed’s upcoming policy meeting, due to conclude on Wednesday amid ongoing uncertainty over the pace and timing of future rate hikes.
The Bank of Japan is to wrap up its two-day policy meeting on Thursday and in recent days expectations for more easing have mounted.
EUR/USD gained 0.42% to trade at 1.1315.
The dollar was lower against the pound and the Swiss franc, with GBP/USD up 0.70% at a nearly three-month high of 1.4586 and with USD/CHF sliding 0.32% to 0.9719.
The pound strengthened as investors seemed to forget their concerns over a British exit from the European Union, or Brexit.
The Australian and New Zealand dollars remained stronger, with AUD/USD up 0.23% at 0.7733 and with NZD/USD climbing 0.44% to 0.6885.
Elsewhere, USD/CAD fell 0.22% to 1.2647, hovering close to last week’s nine-month trough of 1.2589.
The commodity currencies were boosted as oil prices bounced back on Tuesday thanks to a weaker U.S. dollar, but gains were expected to remain limited as Saudi Arabia, Iran and Koweit all announced output increases, adding to concerns over a global supply glut.
Also Tuesday, Bank of Canada Governor Stephen Poloz said that the global economy was still facing severe headwinds which supported the use of low interest rates, but saw no signs of an impending recession.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.39% at 94.37, the lowest since April 21.