Wednesday, July 24, 2013

Dollar Near One-Month Low Versus Euro Amid Slowing U.S. Data



The dollar traded 0.1 percent from a one-month low versus the euro as weaker U.S. economic indicators bolstered the argument for the Federal Reserve to delay a reduction to its bond-buying program.

The greenback remained lower after a two-day decline versus the yen ahead of a report today forecast to show new home sales in the U.S. rose at a slower pace in June. The euro was supported before data predicted to show services and factory output in the 17-nation region contracted at the slowest pace in more than a year. The Aussie dollar snapped a three-day gain ahead of a government report that economists forecast will show inflation remains contained.

The dollar was little changed at $1.3224 per euro as of 9:04 a.m. in Tokyo and yesterday touched $1.3239, the weakest level since June 21. It bought 99.49 yen from 99.43 yesterday, following a 1.2 percent, two-day drop. The Japanese currency slipped 0.1 percent to 131.58 per euro.

Sales of new U.S. homes probably rose 1.7 percent to an annualized pace of 484,000 last month, compared with 2.1 percent growth in May, according to the median estimate in a Bloomberg News survey before today’s Commerce Department report.
(Source: Bloomberg)

No comments:

Post a Comment