Asian session: The dollar weakened

00:30 Australia National Australia Bank's Business Confidence December -9 3

The dollar weakened against most of its 16 major counterparts as investors pared bets the Federal Reserve will signal a change to its asset-buying program at the end of a two-day meeting tomorrow. A record of the U.S. central bank’s Dec. 11-12 meetings released on Jan. 3 showed officials began debating an end to its unprecedented bond-buying as early as this year.

The U.S. currency was 0.2 percent from its lowest in 11 months versus the euro before a report today forecast to show confidence among U.S. consumers declined this month. The Conference Board’s index of U.S. consumer sentiment fell to 64 from a 65.1 reading in December, according to the median forecast of economists surveyed by Bloomberg News before data due today.

In Germany, a report by GfK SE (GFK) due today may indicate a rebound in confidence about the euro area’s biggest economy. The market research company’s consumer-sentiment index will probably climb to 5.7 in February, economists polled by Bloomberg said, after it dropped to 5.6 this month, the least since December 2011.

The yen declined versus its most-traded peers as Asian stocks rose, damping demand for currencies of nations with low yields.

New Zealand’s dollar rose, snapping a three-day drop as figures showed the nation’s annual trade deficit unexpectedly narrowed.

EUR/USD: during the Asian session, the pair traded in the range of $ 1.3440-60.

GBP/USD: during the Asian session the pair was trading around $ 1.5700.

USD/JPY: during the Asian session, the pair traded in the range of Y90.40-00.

Its another light day of European data Tuesday, although there is a full calendar in he US. The main feature will be the FOMC meeting, which starts today and concludes Wednesday. In Europe, at 0710GMT, the German GfK Feb consumer confidence numbers will be released. At 1100GMT, ECB Executive Board member Peter Praet is scheduled to give a speech at the Danish Top Executive Summit, in Copenhagen. At 1800GMT, ECB Executive Board member Joerg Asmussen is to give a speech at rotary club, in Gluecksbrug (Germany). Sovereign issuance Tuesday sees only bill sales in the eurozone, with Italy set to issue a new 6-month Jul 31 BOT for E8.5bln.