Dollar holds gains as markets focus on peace talks, Fed minutes

Advertisement Business Dollar holds gains as markets focus on peace talks, Fed minutes FILE PHOTO: U.S. dollar banknotes are seen in this illustration taken March 10, 2023. REUTERS/Dado Ruvic/Illustration/File Photo 18 Feb 2026 08:58AM Bookmark Bookmark Share WhatsApp Telegram Facebook Twitter Email LinkedIn Set CNA as your preferred source on Google Add CNA as a trusted source to help Google better understand and surface our content in search results. Read a summary of this article on FAST. Get bite-sized news via a newcards interface. Give it a try. Click here to return to FAST Tap here to return to FAST FAST TOKYO, Feb 18 : The dollar held its ground on Wednesday as geopolitical risks kept markets on edge and investors awaited minutes from the Federal Reserve for signals on future rate cuts.The yen was steady after data showing a rebound in Japanese manufacturer sentiment and President Donald Trump announced the first tranche of mega-investments Tokyo is making in the U.S. The kiwi held gains before a decision by the Reserve Bank of New Zealand, which is widely expected to hold on rates.Iran said progress had been made in nuclear talks with the U.S. in Geneva, while peace negotiations between Ukraine and Russia continued. With many markets in Asia remaining closed for Lunar New Year holidays, investor focus remained on the Fed's readout of its last meeting and key U.S. economic data due on Friday."Weaker risk sentiment, because of concerns around renewed geopolitical tensions in the Middle East and volatility in U.S. equity markets, briefly supported the USD," Samara Hammoud, a currency strategist at Commonwealth Bank of Australia, wrote in a note. "However, reports that the U.S. and Iran made progress and reached a 'general agreement' during nuclear negotiations in Switzerland helped ease those concerns." Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday. This service is not intended for persons residing in the E.U. By clicking subscribe, I agree to receive news updates and promotional material from Mediacorp and Mediacorp’s partners. Loading The dollar index, which measures the greenback against a basket of currencies, was little changed at 97.11 after a two-day advance. The euro was steady at $1.1852.The yen strengthened 0.1 per cent to 153.12 per dollar. Sterling held at $1.3563, after a 0.5 per cent slide in the previous session.Iran and the U.S. reached an understanding on the main "guiding principles" in a second round of indirect talks over their nuclear dispute on Tuesday, although a deal is not imminent, Iranian Foreign Minister Abbas Araqchi said.Elsewhere in Geneva, negotiators from Ukraine and Russia concluded the first of two days of U.S.-mediated peace talks in Geneva, with Trump pressing Kyiv to act fast to reach a deal to end the four-year conflict.The Fed's Open Market Committee issues minutes from its January meeting later on Wednesday, while the Commerce Department on Friday will issue its first estimate for U.S. gross domestic product for the fourth quarter.In Japan, data showed exports rose for a fifth consecutive month in January, while the Reuters Tankan poll showed that confidence among the nation's manufacturers improved in February for the first time in three months.The International Monetary Fund urged Japan to keep raising interest rates and avoid loosening fiscal policy further. The Trump administration announced three projects valued at $36 billion to be financed by Japan, the first of some $550 billion in projects Tokyo agreed to undertake in order to lower U.S. tariffs.The Australian dollar was steady at $0.7083, while the kiwi traded little changed at $0.6047. New Zealand's first female central bank chief Anna Breman chairs her debut meeting on Wednesday, with rates widely expected to stay on hold.In cryptocurrencies, bitcoin fell 0.08 per cent to $67,597.50, while ether declined 0.18 per cent to $1,995.63. Source: Reuters Newsletter Week in Review Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday. Sign up for our newsletters Get our pick of top stories and thought-provoking articles in your inbox Subscribe here Get the CNA app Stay updated with notifications for breaking news and our best stories Download here Get WhatsApp alerts Join our channel for the top reads for the day on your preferred chat app Join here Advertisement Also worth reading Content is loading... Advertisement Expand to read the full story Get bite-sized news via a newcards interface. Give it a try. Click here to return to FAST Tap here to return to FAST FAST