* Loonie, Mexican peso bounce as Trump says won't scrap
* U.S. tax plan offers no surprises, dollar/yen slips off
* ECB awaited after 1st round of French votes
* Swedish crown falls vs euro after Riksbank hold rates,
* BOJ stands pat on policy as expected, little impact on yen
* Graphic: World FX rates in 2017 tmsnrt.rs/2egbfVh
By Ritvik Carvalho
LONDON, April 27 The dollar only held its gains
against the Japanese yen on Thursday after U.S. President Donald
Trump's tax plan offered no surprises, slowing the greenback's
The market also awaited the European Central Bank's monetary
The Canadian dollar and Mexican peso, which had slumped
earlier on reports the United States is considering withdrawing
from the North American Free Trade Agreement (NAFTA), bounced
sharply after Trump said he would not scrap the pact but
The U.S. dollar had surged to a four-week high of 111.780
yen on Wednesday before Trump's tax reform plans were unveiled.
But it lost traction as the proposals failed to excite
investors. The dollar was last up 0.2 percent at 111.20 yen
The dollar index against a basket of major currencies
slipped 0.2 percent to 98.841 after rising as far as
99.332 the previous day.
Trump's plan would cut the income tax rate paid by public
corporations to 15 percent from 35 percent and reduce the top
tax rate assessed on pass-through businesses, including small
partnerships and sole proprietorships, to 15 percent from 39.6
"It (the plan) was kind of as we expected really. The dollar
generally has come off on the view that the announcement of the
so-called plan reads more like a wish list than a firm plan,"
said Adam Cole, currency strategist with RBC Capital Markets in
The euro was up 0.1 percent at $1.0913. It has had a
buoyant week, climbing to a 5-1/2 month high of $1.0951 on
Wednesday, as the first round of the French presidential
elections held over the weekend reduced perceived risk towards
the common currency.
The European Central Bank is due to announce its policy
decision later on Thursday. It is not expected to move, waiting
until its June meeting to signal any plans to pull back from its
ultra-loose monetary policy.
The Swedish crown fell more than half a percent to 9.060 per
euro after the Riskbank kept its benchmark interest
rate at -0,5 percent, as expected, and said it would extend its
bond-buying programme by 15 billion Swedish crowns.
The Canadian dollar bounced 0.6 percent to C$1.3542
per dollar, while Mexico's peso strengthened 1.2
percent to 18.95 pesos per dollar as Trump's latest stance on
NAFTA eased concerns towards U.S. trade protectionism for now.
For Reuters Live Markets blog on European and UK stock
markets see reuters://realtime/verb=Open/url=http://emea1.apps.cp.extranet.thomsonreuters.biz/cms/?pageId=livemarkets
(Reporting by Ritvik Carvalho; additional reporting by Tokyo