Dollar steady ahead of key speech from Fed

The dollar steadied against its peers on Wednesday ahead of a key speech from Fed Chairman Jerome Powell and U.S. data that are expected to report a slowdown in durable goods orders.

The yuan hit a seven-month high after U.S. and Chinese officials reaffirmed their commitment to a Phase 1 trade deal, easing concerns about the diplomatic tensions between the two countries.

The dollar was under pressure as U.S. consumer confidence fell to its lowest level in over six years amid large-scale unemployment.

Meanwhile, traders are looking to Powell’s speech on Thursday at the Jackson Hole retreat to get clues about the Fed’s next steps in safeguarding economic recovery.

Against the euro, the dollar traded at $1.1816, while the pound bought $1.3138. The greenback stood at 0.9090 on the Swiss franc and at 106.43 on the Japanese yen.

Investors are awaiting the U.S. durable goods orders data due later in the day. In offshore trade, the yuan climbed to 6.9002 on the dollar, nearing a seven-month high. 

The Aussie was little changed at $0.7195, while the kiwi bought $0.6552.