Dollar Slips Versus Euro, Pound
The dollar saw some weakness against the euro and sterling as traders favored the higher-yielding currencies with U.S. and European stocks seeing some strength. The buck saw some weakness against the yen.
U.S. traders looked ahead to a busy week ahead with data on home prices, consumer confidence, manufacturing and employment on the slate in the next three days.
Boston Fed President Eric Rosengren defended the move to make the Federal Reserve a central part of the new system-wide approach to regulation Monday. Speaking at the Risk Capital 2009 Conference in Brussels, Belgium, Rosengren said that because the Fed is the discount window operator, it is logical for them to have a role in macroprudential supervision.
The dollar edged lower within a trading range against the euro, reaching 1.4102 in the early afternoon.
A survey from European Commission showed today that the economic confidence index stood at 73.3 in June, up from 70.2 in May and the expected reading of 71. However, the level stayed below the lows reached in the previous trough at the end of 1992.
The greenback also slipped versus the sterling and tested an eight-month low. The dollar touched as low as 1.6586 in the mid-afternoon. If the buck gets below 1.6602 it will be at its lowest mark since mid-October.
the latest Financial Services Survey by the Confederation of British Industry and PricewaterhouseCoppers showed today that UK’s financial sector firms expect business volumes to improve over the coming quarter, after falling for the last 21 months.
On the other hand, the dollar saw some strength against the yen, moving to 96.164. Overall, the pair has been in a range for about a week.
Japan’s Ministry of Economy, Trade and Industry said in a preliminary report today that industrial production jumped 5.9 percent in May compared to the previous month, rising for the third consecutive month.
