Dollar Holds Steady After Fed, Japan Intervention

The US dollar stabilized after recent interventions from the Federal Reserve and Japan's Finance Ministry. The greenback had come under pressure due to the Fed's reluctance to take action on inflation, which has not been met in over five years.

However, Japanese officials may have intervened in the foreign exchange market, selling nearly $53 billion worth of dollars. This move was also confirmed by a preliminary review of the Bank of Japan's balance sheet.

The dollar held above its three-month downtrend and settled near $1.1410 on Wednesday after the FOMC meeting. It consolidated in a narrow range below $1.1530 today, with some buying related to expiring options at $1.1500.