Dollar recovers after weak start
The dollar pulled back against its major rivals at the start of the new trading week, but has since staged a recovery and is now trading modestly to the upside. Economic data has been sparse Monday and things will remain quiet in the US until the end of the week.
Traders can look forward to weekly jobless claims, durable goods orders and international trade on Thursday, while GDP and consumer sentiment are slated for Friday.
A report released by the National Association of Realtors on Monday showed existing home sales in the US unexpectedly decreased for the third straight month in June.
NAR said existing home sales fell by 0.6% to an annual rate of 5.36 million in June from a downwardly revised rate of 5.41 million in May. Economists had expected existing home sales to climb by 0.5%.
The dollar dropped to an early low of USD1.1749 against the Euro Monday, but has since bounced back to around USD1.1690.
Eurozone consumer confidence fell less-than-expected in July to its lowest level in nine months, a flash estimate from European Commission showed Monday. The consumer confidence index eased to -0.6 from -0.5 in June. Economists had forecast a score of -0.7.
The buck slid to a low of USD1.3158 against the pound sterling Monday morning, but has since climbed to around USD1.31.
British households’ finance outlook turned positive for the first time since March 2016, while their financial pressures softened in July, results of a survey by IHS Markit and financial information provider Ipsos Mori revealed Monday. The seasonally adjusted Household Finance Index, or HFI, rose to 44.6 in July from 43.6 in June.
The greenback fell to an early low of Y110.750 against the Japanese Yen Monday, but has since rebounded to around Y111.435.