Early trade in New York: Dollar slips versus euro

The dollar edged lower against the euro in volatile trade on Wednesday after the Federal Reserve extended its monetary stimulus to support a stalling US economic recovery. The dollar initially rallied to a session high against the euro as some investors were disappointed that the Fed did not signal a third round of quantitative easing.
But the euro later rebounded and last traded at $1.2706, up 0.2 percent on the day. The dollar gained further versus the yen and last traded at 79.61, up 0.9 percent, compared with 79.41 earlier.