Source AP ©

Dollar falls in Asia as U.S. indicators fan speculation for lower U.S. interest rates

The dollar fell in Asia Wednesday after data about the American economy indicated lower U.S. interest rates may be ahead.

The dollar was trading at 118.76 yen midafternoon, down from 118.95 yen late Tuesday in New York. The euro rose to US$1.3584 from US$1.3549.

Although the euro continued to be strong, some traders said a correction phase may start soon, and the euro may stop its rapid ascent.

"There is a notion that the euro's recent gains against the yen were a bit excessive," said Saburo Matsumoto, a senior trader at Sumitomo Trust and Banking Co.

The dollar got sold after consumer price and industrial data Tuesday underscored the likelihood that the next move in U.S. interest rates will be downward. The overall CPI was up 0.6 percent last month, the biggest jump in 11 months, but core inflation, which excludes volatile energy and food, posted a tiny 0.1 percent rise last month, the smallest increase in three months.

Hiroshi Imaizumi, a senior trader at Resona Bank, said the dollar could fall to the upper 117 yen levels.

The dollar was mixed against other regional currencies, gaining to 41.910 Indian rupees from 41.70 the previous day, while dipping to 9,072 Indonesian rupiah from 9,090. It climbed to 47.705 Philippine pesos from 47.650.

Comments
Ukraine's Western allies point their guns at President Poroshenko
USA prepares Russia's neighbours for WWIII
U.S. Humiliates South Korea, Threatens North Korea
It is about time Russia should exit Western project
China wants Moscow to confront pressure from Washington together
China wants Moscow to confront pressure from Washington together
China wants Moscow to confront pressure from Washington together
Keys to understanding the world from Feminism - Science and Feminism
China wants Moscow to confront pressure from Washington together
U.S. Humiliates South Korea, Threatens North Korea
China wants Moscow to confront pressure from Washington together
It is about time Russia should exit Western project
Turkey invades Syria to Moscow's and Washington's silent consent
U.S. Humiliates South Korea, Threatens North Korea
Sanctioned and isolated, Russians take palm of global leadership away from Americans
Sanctioned and isolated, Russians take palm of global leadership away from Americans
Sanctioned and isolated, Russians take palm of global leadership away from Americans
Russia eyes opportunity to restore all Soviet bases that had to be abandoned after 1991
Russia eyes opportunity to restore all Soviet bases that had to be abandoned after 1991
U.S. Humiliates South Korea, Threatens North Korea
Russia eyes opportunity to restore all Soviet bases that had to be abandoned after 1991