The dollar is experiencing mixed movement in the early afternoon in New York. Traders considered disappointing economic news in retail sales and producer prices that came in far below analyst expectations, prompting concern about the U.S. economy. With little news on tap outside of the world's largest economy, traders were able to examine U.S data in detail.
The dollar regained some ground against the euro after setting a multi-day low against the currency. Meanwhile, the greenback slowed its drop against the pound but is still testing a multi-week low. Against the yen, the buck moved below the 100 level after breaking through the mark earlier this month.
The dollar moved steadily higher against the euro in the late morning, moving off a multi-day low against the 16-nation currency. In the early afternoon hours, the buck is sitting at 1.3273, up a penny from overnight quote.
Recent choppy movement between the currencies has come as economic prospects in both the U.S. and Eurozone remain murky amid mixed economic data. Overall, with monetary policy in the U.S. shifting quickly to combat the global recession, the dollar has seen considerable strength against the euro this year.
Meanwhile, the buck continued its weakness versus the sterling after setting a weekly low on Monday. The dollar is now looking to test a multi-week low of 1.4937. The greenback recorded a level of 1.4893 in the late morning, below its overnight quote of 1.4863.
Against the yen, the buck continued to fall below the 100 mark posting a 9 day low of 99.10, after recording an overnight quote of 100.34. With the decline, the greenback has fallen to early-April levels, ceding ground after last week's move brought the dollar to it's a multi-month high of 101.44.
Investors are considering data from the Commerce Department showing that retail sales fell 1.1 percent in March following a revised 0.3 percent increase in February. Economists had expected sales to increase by 0.3 percent compared to the 0.1 percent decrease originally reported for the previous month.
Notable decreases in most categories contributed to the unexpected decrease in retail sales, with sales by electronics and appliance stores showing a particularly steep 5.9 percent decrease.
Separately, the U.S. Labor Department said producer prices dropped 1.2 percent in March following a revised increase of 0.1 percent in the previous month. Economists had expected no change in producer prices for the month.
Core prices, a measure that excludes the volatile food and energy sectors, were flat with the previous month.
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