Investing.com - The dollar held steady against the other major currencies on Wednesday, after the release of downbeat U.S. data, as investors were still eyeing the Federal Reserve’s policy decision due later in the day.
The National Association of Realtors (NAR) said its pending home sales index rose by 0.2% last month, missing expectations for an increase of 1.4%. Pending home sales in May declined 3.7%.
The report came after the U.S. Commerce Department said total durable goods orders fell 4.0% last month, compared to economists' expectations for a decline of 1.1%. May's orders were revised to a decrease of 2.8% from a previously reported 2.3% decline.
Core durable goods orders, which exclude volatile transportation items, fell 0.5% last month, compared to forecasts for a 0.3% gain.
Meanwhile, most investors were expecting the Fed to leave its monetary policy unchanged later Wednesday, but they were hoping for hints on the timing of future rate hikes.
EUR/USD added 0.17% to 1.0004.
The pound was steady, with GBP/USD at 1.3131.
The U.K. Office for National Statistics earlier reported that gross domestic product rose 0.6% in the three months to June, above forecasts for growth of 0.4%. Year-over- year, U.K. economic growth expanded 2.2% in the second quarter, also above the forecast for an expansion of 2.0%.
But the data failed to boost optimism over the U.K. economy as it is the final measure of growth in the run-up to the U.K.’s June 23 referendum that resulted in Britain’s decision to leave the European Union.
According to a Bloomberg survey released on Wednesday, consensus expects the U.K. to contract by 0.1% in the third quarter.
Meanwhile, USD/JPY advanced 0.99% to trade at 105.68, off the one-and- a-half month lows of 103.98 hit on Tuesday, while USD/CHF held steady at 0.9931.
The yen weakened following reports Prime Minister Shinzo Abe and his government will compile a stimulus package of nearly 28 trillion yen, or $265.3 billion, to prop up Japan's flagging economy.
That would be bigger than earlier reports of a possible headline figure of around 20 trillion yen.
Market players are also looking ahead to the Bank of Japan’s policy meeting later this week. The BOJ is widely expected to ease policy further at the conclusion of its meeting on Friday, which could include a rate cut deeper into negative territory and additional asset purchases.
The Australian dollar was lower, with AUD/USD down 0.48% at 0.7467, while NZD/USD held steady at 0.7052.
Earlier Wednesday, the Australian Bureau of Statistics said the consumer price index rose 0.4% in the second quarter, in line with expectations and after a 0.2% fall in the three months to March.
Year-on- year, consumer prices rose 1.0% in the last quarter, compared to expectations for an increase of 1.1%.
Elsewhere, USD/CAD was little changed at 1.3184, close to Tuesday’s four-month peak of 1.3245.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was steady at 97.19, hovering close to Monday’s four-month high of 97.62.