The euro weakened vis-Ã -vis the U.S. dollar today as the single currency tested bids around the US$ 1.3860 level and was capped around the US$ 1.4020 level. The common currency failed to keep pace with a strong showing from U.S. equity markets as the Dow registered a 200+ point gain through mid-day North American trading. Data released in the U.S. today saw the March S&P/Case-Shiller home price index decline 18.7% while the May consumer confidence survey improved to 54.9 from a revised 40.8 in April. The present sub-index and expected sub-index rallied nicely with the latter jumping to 72.3 from a revised 51.0 in March. Traders are closely watching developments regarding the fate of General Motors, the U.S. automotive giant that is facing a series of deadlines this week. In eurozone news, the EMU-16 current account balance improved for the fourth consecutive month in March, printing at -‚¬6.5 billion from a revised February tally of -‚¬7.8 billion. Also, EMU-16 March industrial new orders were off 0.8% m/m and 26.9% y/y. Additionally, German GDP was off 3.8% q/q in the first quarter and down 6.9% y/y. Moreover, French April consumer spending was up +0.7% m/m and +0.6% y/y. GfK reported the June German consumer confidence number stable at 2.5. Euro bids are cited around the US$ 1.3435 level.
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