The euro was flat against the dollar Wednesday as traders looked ahead to the results of the two-day interest rate meeting of the U.S. Federal Reserve.
The 16-nation euro bought $1.3005 in Frankfurt morning trading, about the same level as late Tuesday in New York.
The British pound bought $1.3967, down from $1.4026 the night before while the dollar bought 98.54 Japanese yen, up slightly from 98.46 yen late Tuesday.
With the main U.S. interest rate already near zero, Federal Reserve policymakers in Washington are weighing what other tools they can use to jolt the country out of recession.
Fed Chairman Ben Bernanke and his colleagues resume their two-day meeting Wednesday, and at its conclusion they are all but certain to leave a key bank lending rates at a record low to try to bolster the economy, which has been stuck in a recession since December 2007.
Economists predict the Fed will hold its lending rate between zero and 0.25 percent for the rest of this year and for most _ if not all of _ next year.
Lower rates can help stimulate an economy but tend to weaken a currency as traders move funds to investments with better returns.
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