The Federal Reserve will deliver its interest rates decision at the end of its two-day meeting on Wednesday U.S. time. Market watchers say the meeting will yield few surprises and most expect no changes in the central bank's policy this week.
"To be sure, with no 'presser' or dot plot release for the November Federal Open Market Committee [meeting], shifts in Fed bets may be somewhat restrained absent express dovish caveats in the statement," Vishnu Varathan, head of economics and strategy at Mizuho Bank, said in a morning note.
Investors also awaited tax reform details expected later this week and President Donald Trump's upcoming announcement regarding the next chair of the Fed.
The dollar firmed ahead of the conclusion of the Fed's meeting, with the dollar index trading at 94.599 at 2:50 p.m. HK/SIN.
Against the yen, the U.S. currency rose to trade at 113.83, compared to Tuesday's close of 113.67 yen. Softness in the Japanese currency came after the Japanese central bank kept its monetary policy steady earlier this week.
Meanwhile, U.S. consumer confidence in October rose to its highest levels in nearly 17 years as consumers grew more upbeat after several hurricanes had influenced sentiment in September, a Conference Board survey showed on Monday.
Also in focus will be the Bank of England's policy meeting on Thursday. Markets are awaiting what could be the central bank's first interest rate hike in 10 years.
In the lead up to the meeting, the British pound was steady at $1.3290 at 2:50 p.m. HK/SIN.