The dollar retreated from a three- week high versus the yen after encountering so-called technical resistance and as the short-term debt deal passed by U.S. Congress failed to end political uncertainty.
The euro retreated from an eight- month high versus the dollar before the European Central Bank meets today for the first time since President Mario Draghi said he’s ready to inject cash into the banking system.
The dollar slumped to a 15-year low against the yen after a private report showed U.S. companies unexpectedly cut jobs last month, fueling speculation the Federal Reserve will buy U.S. assets to spur a slowing economy.
Canada’s dollar may gain to the strongest level versus its U.S. counterpart since 2007 amid expectations the Canadian central bank will raise interest rates before the Federal Reserve, according to Credit Suisse Group AG.
The euro tumbled to the lowest level in four years against the dollar as Germany’s move to temporarily halt a slump in European asset prices triggered concern that the region’s sovereign crisis will accelerate.