Dollar retreats from 2-week high ahead of Fed decisions

US dollar fell on Wednesday in the European market from a two-week high versus a basket of global currencies as investors refrained from building new US currency positions, pending the release of Federal Reserve decisions at the end of its monetary policy meeting.

The dollar index fell more than 0.1% to 97.53 points, from the opening level of today's trading at 97.63 points, with the highest level at 97.68 points.

Yesterday, the index gained 0.2%, reaching a two-week high of 97.77 points, due to a rise in demand on the US currency as the best current investment in the foreign exchange market.

The Federal Reserve will conclude its monetary policy meeting later today, with expectations that interest rates will remain unchanged at 2.50%, with new evidence expected on the possibility of a US rate cut in the next few months.

The US Interest Rate, Monetary Policy Statement and Quarterly Economic Outlook will be released by 18:00 GMT, and Federal Reserve Chairman Jerome Powell will deliver a speech at 18:30 GMT.

Investors are looking for new evidence for the future of US interest this year, especially as there are strong prospects that the Federal Reserve will cut interest rates to counter the risks surrounding the economy.

These risks are the US trade wars against several countries, led by China, as well as the country's low inflation levels.