Forexpros – The greenback rebounded against most of the world’s major currencies on Wednesday, reversing earlier losses when the euro firmed on word that Greece and its lenders were ironing out final details needed for Athens to access bailout funds.
In early Asian trading on Wednesday, EUR/USD fell 0.10% to 1.3247.
Greece needs EUR130 billion in assistance funding if it is to avoid a March 20 default, and must restructure its debts with private creditors as well as agree to austerity measures from multilateral lenders to tap those funds.
All sides involved were reportedly hammering out final details needed to free up the funds to keep Greece from a messy default.
Despite hopes for a looming deal and an end to agonizing uncertainty the Greek debt drama has inflicted on global markets, there is still no deal, which kept the market on edge.
Greece has come close to similar agreements in the past only to experience delays, which cooled the mood in Asian trading on Wednesday and prompted investors to restock up on dollars.
Furthermore, German industrial output figures came in weaker than expected.
Meanwhile, the dollar was steady against the pound, with Cable down 0.02% to hit 1.5893.
The greenback was up 0.24% against the yen, with USD/JPY trading at 76.95, and up against the Swiss franc, with USD/CHF rising 0.10% to 0.9128.
The greenback was mixed against its counterparts in Canada, Australia and New Zealand, with USD/CAD up 0.12% at 0.9956, AUD/USD down 0.20% at 1.0786 and NZD/USD flat at 0.8358.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.12% at 78.69.
On Wednesday, New Zealand will release unemployment data, while China may release inflation figures.
Swiss unemployment figures will be released, as will German trade balance figures.
Canadian housing starts are due for release as are U.S. crude and gasoline inventory figures.
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