Dollar near multi-week lows before Fed, yen unmoved after BOJ

Dollar near multi-week lows before Fed, yen unmoved after BOJ

TOKYO - The dollar hovered near multi-week lows versus major peers on Tuesday, weighed by subdued Treasury yields ahead of the Federal Reserve's policy decision this week, while the yen hardly budged after the Bank of Japan kept its policy on hold.The safe-haven greenback was also out of favour after world stocks started the week hitting a record high, amid increasing investor confidence in a rapid global recovery from the pandemic.The dollar index, which tracks the U.S. currency against six peers, was little changed at 90.947 in mid-Asian session, after dipping to the lowest since March 3 overnight at 90.679.The dollar added 0.1% to 108.18 yen, another haven currency, continuing its rise from the seven-week low of 107.48 reached Friday.The yen showed a muted response after the Bank of Japan kept its monetary policy on hold as widely expected. Additionally, no change to policy is expected when the Federal Open Market Committee ends its two-day meeting on Wednesday.However, the market will pay close attention to comments from Fed Chairman Jerome Powell, who is likely to face questions over whether improving conditions warrant a withdrawal of monetary easing.Most analysts though expect him to say such talk is premature, which could put downward