Asian session review: the dollar declined against most currencies

The US dollar fell against the euro, the pound, and the currencies of Asian emerging markets after the Federal reserve published a scheme for implementing a $250 billion corporate bond buyback program.

The Fed said it will begin buying back "a wide range of corporate bonds to maintain market liquidity and ensure that loans are available to large employers." The Fed will create a portfolio of corporate bonds based on the index, which will include all securities traded on the secondary market and meet the minimum requirements under this program.

The Fed's expansion of the range of bonds repurchased under this program has increased risk appetite in financial markets.

The yen fell after the Bank of Japan maintained ultra-soft monetary policy parameters at the end of its meeting on Tuesday, continuing to assess the impact of stimulus measures it introduced earlier in response to the crisis caused by the coronavirus pandemic. The interest rate on deposits from commercial banks remained at the level of -0.1% per annum, while the target yield on ten-year government bonds in Japan is about zero. The Central Bank confirmed that it still does not intend to limit the purchase of government bonds as part of the quantitative easing (QE) program.

The ICE index, which tracks the dynamics of the us dollar against six currencies (Euro, Swiss franc, yen, canadian dollar, pound sterling and Swedish Krona), fell by 0.2%