The U.S. Federal Reserve's monetary policy committee offered no hint of support for renewed economic stimulus at their last meeting, according to minutes released Wednesday.
Policymakers agreed last month that they might need to take more action to support growth if the U.S. economy loses momentum.
And they focused especially on what would happen if the U.S. Congress fails to avert tax hikes and across-the-board spending cuts that kick in at the end of the year.
They also expressed worries that Europe's debt crisis will weigh on U.S. growth.
But there were no hints that the Fed was considering another round of another round of Treasury bond purchases known as quantitative easing.
"On balance, the minutes do not on the surface suggest a sizeable body of support for further immediate action," Peter Buchanan of CIBC World Markets said in a commentary.
The currencies of commodity-weighted economies — including Canada — had made gains against the greenback ahead of the release of the minutes, as traders speculated that renewed stimulus would boost demand for raw materials.
Job creation disappointing
The loonie closed Wednesday at 98.05 cents US, up 0.26 of a cent.
Buchanan warned that the meeting was held before the release of disappointing economic data, especially lower-than-expected job creation in June.
The U.S. economy created just 80,000 jobs in June, the third consecutive month of weak job growth.
The unemployment rate stood at 8.2 per cent. At the meeting, the Fed extended a program that shifts its bond portfolio to try to lower long-term interest rates.
Chairman Ben Bernanke could offer some indication of the Fed's plans next week when he delivers the central bank's updated economic assessment to Congress.
Bernanke told reporters after the meeting that he was open to another round of bond purchases if the job market does not improve.
Other central banks have moved recently to help keep the recovery on the rails. The European Central Bank and the People's Bank of China cut lending rates last week.
Since the recession, the Fed has purchased more than $2 trillion US in Treasury bonds and mortgage-backed securities, expanding its portfolio to more than $2.8 trillion.
After its last meeting, the Fed downgraded its economic outlook. It now expects growth of just 1.9 percent to 2.4 percent in 2012, half a percentage point lower than its April forecast.