Investing.com

Investing.com - The Japanese yen was unmoved by service producer prices data that came in higher than expected with overall forex trade tame early in Asia on Wednesday.



In Japan May CSPI rose 3.6%, higher than the gain of 3.2% expected.



USD/JPY traded steady at 101.94, down 0.1%, after the data.



At 1130 Sydney (0130 GMT), Reserve Bank of Australia Deputy Governor Phillip Lowe participates as a panel moderator at a G20 event in Melbourne.



AUD/USD also held steady at 0.9362, down 0.06%.



Overnight, the dollar traded mixed against most major currencies, buoyed by upbeat U.S. housing and consumer confidence data, though escalating Iraqi violence capped the greenback''s advance, weakening it against its peers at times.



New home sales rose to a six-year high, surging 18.6% in May to an annual rate of 504,000, according to the U.S. Census Bureau. May''s figure was the highest level since May 2008 and the largest monthly increase since January 1992.



Analysts were expecting new home sales to rise 1.6% to 440,000 units.



The dollar also saw demand after the Conference Board reported that its consumer confidence index jumped to 85.2 in June from 82.0 last month. It was the highest reading since January 2008.



Analysts were expecting a reading of 83.5.



The numbers kept market expectations firm for the Federal Reserve to continue winding down its monthly bond-buying program this year and begin hiking interest rates in 2015.



Later in the session, geopolitical concerns watered down the dollar''s earlier gains, sending investors to safe-haven assets like gold, which tends to trade inversely with the greenback.



Reports that Syrian warplanes hit targets in western Iraq earlier Tuesday in an effort to join Iran and support the embattled Baghdad government sent gold prices climbing due to safe-haven demand, as fears began to grow the conflict will increase in duration and complexity, especially if Washington gets more involved.



The US Dollar Index, which tracks the performance of the greenback against major currencies remained down 0.01% at 80.38.



On Wednesday, the U.S. is to publish data on durable goods orders, as well as revised data on first quarter growth.





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