WASHINGTON (dpa-AFX) - The dollar is turning in a mixed performance Wednesday afternoon. The buck is down against the Euro and the Japanese Yen, but is up against the British pound. There was very little economic data to drive the direction of trading today. Traders can look forward to weekly jobless claims data tomorrow morning and consumer sentiment on Friday.
Investors are in a cautious mood ahead of some upcoming major events. The British parliament will vote tonight on the Brexit plan and the European Central Bank will announced its policy decision tomorrow.
European Central Bank President Mario Draghi will likely announce an extension of asset purchases by the central bank beyond March 2017 on Thursday, hoping to spread some Christmas cheer amid the high political uncertainty, especially after the 'no' vote in the Italian referendum last weekend.
The 25-member Governing Council is widely expected to leave interest rates unchanged for a sixth straight session but extend asset purchases of 80 billion euros a month by six months till September. That way, Draghi can play Santa, giving markets what they expected.
The dollar fell to a low of $1.0768 against the Euro Wednesday, but has since bounced back to around $1.0750.
Germany's industrial production recovered in October, figures from Destatis showed Wednesday. Industrial production grew 0.3 percent in October from September, when it declined by revised 1.6 percent. Nonetheless, the pace of growth was weaker than the expected 0.8 percent increase.
France's trade deficit widened unexpectedly in October, as exports declined though imports remained firm, data from the French Customs showed Tuesday. The trade deficit rose to EUR 5.20 billion from EUR 4.79 billion in September and EUR 4.48 billion a year ago. Economists had forecast a shortfall of EUR 4.35 billion.
The French current account gap narrowed in October from a month ago, the Bank of France reported Wednesday. The current account deficit fell to EUR 3.5 billion in October from EUR 3.7 billion in September.
The lower house of the U.K. Parliament is voting tonight on the Brexit plan after U.K. Prime Minister Theresa May agreed to publish her plan for the exit process before Article 50 is triggered.
The PM on Tuesday accepted the demand by the Labour PMs to reveal Brexit plan on conditions that the Article 50 should be triggered by the end of March and the outcome of the June referendum should be accepted.
The buck climbed to an early high of $1.2568 against the pound sterling Wednesday, but has since eased back to around $1.2615.
British industrial output declined unexpectedly in October as the shutdown for maintenance of oil fields dampened production, the Office for National Statistics reported Wednesday. Industrial production declined 1.3 percent from September, the biggest fall since September 2012. Economists had forecast an increase of 0.2 percent after a 0.4 percent fall in September.
U.K. house prices grew at a slower pace in November from October, data published by the mortgage lender Halifax showed Wednesday. House prices increased 0.2 percent month-on-month in November, in line with expectations, but slower than the 1.5 percent rise seen in October. Nonetheless, prices have increased for the third straight month.
The greenback slipped to a low of Y113.383 against the Japanese Yen Wednesday, but has since rebounded to around Y113.885.
The leading index for Japan, which measures the future economic activity, increased less-than-expected in October to the highest level in nearly a year, preliminary figures from the Cabinet Office showed Wednesday.
The leading index rose to 101.0 in October from 100.0 in the previous month, Economists had expected the index to climb to 101.4.
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