The euro moved lower vis-à-vis the U.S. dollar today as the single currency tested bids around the US$ 1.4320 level and was capped around the $1.4390 level. Data released in the U.S. today saw July personal income growth at 0.0%, up from June's revised -1.1% decline. July personal spending printed at +0.2%, down from June's revised print of +0.6%. Also, the July personal consumption expenditures deflator was off 0.8% y/y, worse than the 0.4% June reading. At the core level, the July core rate up 0.1% m/m and 1.4% y/y. Finally, the University of Michigan consumer sentiment indicator came in at 65.7, above the prior mid-August reading of 63.2 but below the July reading of 66.0. The common currency failed to sustain its gains through the North American session as U.S. equity prices retreated in the session. St. Louis Fed President Bullard was on the wires earlier and dovishly said the Fed needs to see much more convincing economic data before contemplating an increase in rates. In eurozone news, the European Commissions's economic sentiment indicator improved to 80.6 from a reading of 76 in July. Many economists believe the eurozone economy will expand around 0.5% q/q in the third quarter. Bundesbank reported German banks expect a modest increase in lending volumes in the second half of 2009 and in 2010, corroborating the central bank's assessment there is no credit crunch in the eurozone's largest economy. German Chancellor Merkel today reported the German economy might contract 5% or 6% in 2009. Euro bids are cited around the US$ 1.3900 figure.