The dollar got a boost against most of its major counterparts yesterday, gaining as US home sales data came in better than many investors had expected. This was followed by gains in the stock markets boosting the dollar through the afternoon. As for today, fluctuations are seen dominating the market as market players are waiting for important US data ahead of us today.
As we all know the euro has been pairing some gains against the US dollar and the reason behind this was the weakness of the dollar especially driven by the speculation that the Feds will cut in rates. Thus far, week economic news out of the US economy has boosted the EUR/USD pair towards the upside and it is expected as housing data and conference board's consumer confidence index is anticipated to come in weak, additional sparkling of the pair maybe seen. As for now the euro is fluctuating within thin trade dragging the pair with it to fetch at this hour a high of 1.4839 and a low of 1.4777
It has been quiet a ride for the British pound with only one significant economic indicator released yesterday which we refer to as the BBA loans for house purchase. According to the report, the data came in with an increase to 44288 from the previous figure of 42088. As for today, the calendar is light with UK market mover; however, later during the day the CBI distributive trades survey is due for release. This indicator is generally a good measurement for retail sales which means it can cause some action in the British pound. Yet the uptrend of the currency is looking tired and limited pushing the pair to trade within narrow ranges to record at this hour a high of 1.9681 and a low of 1.9642. This week we have potentially UK market movers' economic data so stay ahead of it.
Finally, the dollar fell against the yen at the start of today's session as Japanese stocks recorded gains promoting investors to sell higher-yielding assets pushing the air to the downside to record a low of 107.77 after recording a high of 108.13. However, according to the market the dollar looks like is gaining momentum ahead of major fundamental releases due later today.
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