Forex - Dollar mostly lower after U.S. equity rout

By
A A A
Share |

Investing.com - The U.S. dollar traded lower against most of its major rivals during Friday's Asian session even after U.S. stocks endured their worst day since 2011 on concerns the Federal Reserve will begin tapering its monetary easing program later this year.

In Asian trading Friday, EUR/USD nudged down 0.02% to 1.3219 after Germany's manufacturing purchasing managers' index fell to 48.7 in June compared to expectations for a reading of 49.8 and down from a final reading of 49.4 in May. Activity in Germany's services sector rose to a four-month high, with the services PMI improving to 51.3 from 49.7 in May.

The euro zone manufacturing PMI rose to 48.7 in June from a final reading of 48.3 in May, but remained well below the 50 level that separates contraction from expansion. The bloc's services PMI rose to a 15-month high of 48.6 from 47.2 in May, above expectations for an increase to 47.5.

USD/JPY inched down 0.07% to 97.21 ahead of a speech today by Bank of Japan Governor Haruhiko Kuroda. The greenback was flirting with a 3% weekly gain against the yen before the start of Asian trading Friday.

GBP/USD fell 0.07% to 1.5498 while USD/CHF inched down 0.05% to 0.9271. USD/CAD inched down 0.02% to 1.0384 as the loonie was steady despite falling oil prices.

In U.S. economic news out Thursday, the National Association of Realtors said existing home sales rose 4.2% in May to an annual rate of 5.18 million units, the best level since November 2009. Analysts expected a reading of 5 million units.

The Labor Department said initial claims for jobless benefits rose 18,000 last week to 354,000. Analysts expected a smaller increase to 340,000. The less-volatile four week average rose just 2,500 to 348,250.

The Federal Reserve Bank of Philadelphia's general economic rose to 12.5 from -5.2 last month. The reading is the best since April 2011. Readings above zero indicate expansion.

Despite what appears to be a significant lack of risk appetite, AUD/USD rose 0.15% to 0.9212 while NZD/USD added 0.24% to 0.7778. The U.S. Dollar Index was flat at 81.98.


Investing.com
Investing.com - Investing.com offers an extensive set of professional tools for the Forex, Commodities, Futures and the Stock Market including real-time data streaming, a comprehensive economic calendar, as well as financial news and technical & fundamental analysis by in-house experts.
Read more News on Investing.com or Follow us on Twitter at @ Newsinvesting



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Forex and Currencies

Referenced Stocks:

Investing.com

Investing.com

More from Investing.com:

Related Videos

Stocks

Referenced

Most Active by Volume

89,970,926
  • $16.15 ▲ 0.12%
77,131,582
  • $58.94 ▼ 1.31%
67,336,935
  • $26.56 ▲ 1.68%
48,814,124
  • $86.20 ▲ 0.02%
47,526,126
  • $23.21 ▲ 0.78%
44,660,424
  • $23.91 ▲ 6.36%
38,799,699
  • $4.289 ▲ 4.36%
36,199,890
  • $40.01 ▼ 0.97%
As of 4/17/2014, 04:07 PM