Asian session review: the US dollar declined against the euro and yen on expectations of the Fed's decision

During today's Asian trading, the US dollar fell against the euro and the yen on expectations of the outcome of the two-day meeting of the Federal reserve system (Fed).

"The extremely rapid growth of the Euro and gold stopped on the eve of the decision of the US Central Bank," said Western Union analyst Joe Manimbo.

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 0.12%.

The Fed ends its regular two-day meeting on Wednesday. Given that the US is still losing the battle with coronavirus, the Fed is likely to confirm at the meeting on July 28-29 plans to keep the interest rate at close to zero for a long time.

The Ged has kept the rate in the range of 0% to 0.25% since March, and is also implementing a quantitative easing (QE) program and a number of credit programs designed to support various sectors of the economy.

Yesterday, the Fed extended seven emergency lending programs for three months, until December 31, 2020, to support economic activity during the coronavirus pandemic.

In addition, investors continue to monitor the discussion of a new package of measures to support the US economy. On Monday, Republicans introduced a package of measures totaling about $1 trillion, which, in particular, provides for reducing the amount of the allowance for unemployment benefits from $600 a week to $200 a week.