Asian session review: the dollar has stabilized against the euro

During today's Asian session, the US dollar traded stable against the euro, but fell slightly against the yen.

Traders will focus on the meeting of the Federal reserve system, the results of which will be released on Wednesday, as well as a press conference of the head of the Federal reserve Jerome Powell following the meeting.

Experts are confident that the Fed will remain "dovish" after the recent change in the long-term strategy. They expect that the new strategy, which provides for a more lenient approach of the Central Bank to monetary policy, will be reflected in concrete measures to support the US economy, given that the prospects for approval by the US authorities of the next portion of budget incentives are becoming more doubtful.

The Fed's stimulus policy provides serious support to the US economy against the background of risks associated with both the coronavirus pandemic and the upcoming presidential elections in the States.

The yen rose against the US dollar. Japan's Parliament on Wednesday supported Yoshihide Suga's candidacy as the new Prime Minister by a majority vote. A vote in the upper house of Parliament is due later. Even if its decision differs, the house of representatives has a pre-emptive right to appoint the Prime Minister.

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), was almost unchanged (-0.02%).