The dollar edged toward a 15-year low against the yen on Wednesday after the Federal Reserve took a step to try to bolster the fragile U.S. recovery, while technology plays dragged Asian stocks lower.
The U.S. central bank said it would reinvest money from maturing mortgage bonds in government debt. It left its policy rate unchanged and renewed its pledge to keep rates low for an extended period.
* The dollar dipped 0.2 percent to 85.32 yen, edging toward an eight-month low of 85.02 yen hit last week. If it slips below November's low of 84.82 yen, it would mark the currency's weakest level in 15 years.
* The dollar was more buoyant against the euro. The European currency dipped 0.2 percent to $1.3156, having pulled back from last week's three-month peak of $1.3334.
* Japan's Nikkei average <.N225> dropped more than 2 percent, as yen strength undermined exporters. The MSCI index of Asia Pacific stocks outside Japan fell 0.7 percent <.MIAPJ0000PUS>, dragged down by tech sales <.MIAPJIT00PUS>.
* Korean shares fell 0.7 percent as Hynix Semiconductor <000660.KS>, the world's No.2 memory chip producer, dropped 3 percent following tumbles in U.S. chipmakers on concerns of weak PC sales growth given the faltering recovery in the United States.
* Oil fell 32 cents to $79.94 a barrel on demand concerns after data showing a rise in U.S. crude imports overshadowed a deeper-than-expected decline in crude stocks, while the downside was supported by new Federal Reserve steps to support the economy.
* Spot gold gained 35 cents to $1,202.20 an ounce after the Fed's move, still below a 3-week high of $1,212.61 hit last week.
(Editing by Neil Fullick)