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2017.05.2422:35:00UTC+00Dollar on the Defensive, Euro Gains Following Fed Minutes

The dollar was on the backfoot after minutes of the Federal Reserve policy meeting which were not as hawkish as expected, while the euro inched back up towards a 6-½ month peak.

The greenback was flat at 111.570 yen, retreating from a one-week peak of 112.130 touched the day earlier.

The euro, which went as low as $1.1168 overnight, edged up 0.1 percent at $1.1230, pushing its way back towards the 6-½ month high of $1.1268 reached on Tuesday.

The common currency faced a bull run this May on factors which include French political concerns subsiding and strong eurozone data.

The dollar index versus a basket of major peers fell 0.3 percent at 96.983.

The Canadian dollar was at a one-month peak versus the greenback after the Bank of Canada appeared more optimistic regarding the economy than some investors anticipated. The central bank kept interest rates steady and pointed out robust spending by Canadians as well as a housing boom and job growth.

The loonie stood at C$1.3413 a dollar after hitting C$1.3405 overnight, its strongest since April 19. Higher crude prices have also buoyed the Canadian dollar this week.



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