07:44 AM EDT, 06/12/2024 (MT Newswires) -- The US dollar declined against its major trading partners early Wednesday, except for an improvement versus the yen, before release of consumer price data and the concluding statement of the Federal Open Market Committee's meeting.

The consumer price index report for May is scheduled to be released at 8:30 am ET, giving the FOMC a look at the most recent inflation data on the second day of its two-day meeting before announcing its rate decision. Weekly EIA petroleum stocks data are due to be released at 10:30 am ET and the US Treasury's monthly budget statement is due at 2:00 pm ET.

Earlier Wednesday, the Mortgage Bankers Association said mortgage applications rebounded sharply due to a decline in mortgage rates earlier in the week.

The FOMC is widely expected to leave rates unchanged at the current range of 5.25% to 5.5% in its meeting conclusion announcement at 2:00 pm ET, so the focus will be on an update to the Summary of Economic Projections and Federal Reserve Chairman Jerome Powell's press conference at 2:30 pm ET.

A quick summary of foreign exchange activity heading into Wednesday:

EUR-USD rose to 1.0759 from 1.0741 at the Tuesday US close and 1.0737 at the same time Tuesday morning. There are no Eurozone data on Wednesday's schedule, but European Central Bank Vice President Luis de Guindos is scheduled to speak at 9:00 am ET, followed by ECB policy board member Elizabeth McCaul at 9:45 am ET. The next European Central Bank meeting is scheduled for July 18.

GBP-USD rose to 1.2766 from 1.2741 at the Tuesday US close and 1.2744 at the same time Tuesday morning. UK gross domestic product was unchanged from the previous month, accelerating the 3-month moving average but slowing the year-over-year growth rate modestly, data released overnight showed. The next Bank of England meeting is scheduled for June 20.

USD-JPY rose to 157.3488 from 157.0713 at the Tuesday US close and 157.1312 at the same time Tuesday morning. Japanese producer prices rose more than expected in May, boosting the year-over-year rate, data released overnight showed. The next Bank of Japan meeting is scheduled for June 13-14, when no change in rates is expected. The policy statement is due to be released Thursday evening US time.

USD-CAD fell to 1.3745 from 1.3755 at the Tuesday US close and 1.3783 at the same time Tuesday morning. Canadian consumer sentiment data for June are due to be released at 11:00 am ET, followed by a speech by Bank of Canada Governor Tiff Macklem at 3:15 pm ET. The next Bank of Canada meeting is scheduled for July 24.