Shutterstock photo
Markets

Forex - Dollar broadly higher on upbeat Bernanke, ISM report

Shutterstock photo

Shutterstock photo

Forex Pros - The U.S. dollar was broadly higher against its major counterparts on Tuesday, after a report showing that U.S. manufacturing activity hit its highest level in nearly seven years in February and after the chairman of the Federal Reserve said that the U.S. recovery was gathering momentum.

During European late afternoon trade, the greenback was down against the euro, with EUR/USD rising 0.13% to hit 1.3825.

Earlier Tuesday, data showed that the euro zone's manufacturing sector grew at the fastest pace in almost 11 years in February, driven by a record expansion in Germany.

A separate preliminary report showed that consumer price inflation in the euro zone rose 2.4% in February, hitting its highest level since October 2008.

The greenback was also down against the pound, with GBP/USD climbing 0.31% to hit 1.6308.

Earlier Tuesday, data showed that manufacturing activity in the U.K. maintained its recent record pace of growth in February, while a separate report showed that net lending to individuals rose more-than-expected in January.

Elsewhere, the greenback was higher against the yen and the Swiss franc, with USD/JPY advancing 0.34% to hit 82.06 and USD/CHF rising 0.19% to hit 0.9305.

Official data showed earlier that Switzerland's economy grew at a faster pace than expected in the fourth quarter, while a separate report showed that manufacturing activity in the country rose significantly more-than-expected in February.

Meanwhile, the greenback was up against its Canadian, Australian and New Zealand counterparts, with USD/CAD gaining 0.20% to hit 0.9734, AUD/USD slipping 0.10% to hit 1.0174 and NZD/USD shedding 0.11% to hit 0.7514.

Earlier Tuesday, the Bank of Canada kept its overnight cash rate unchanged at 1.00%, in line with expectations.

The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.11%.

Also Tuesday, the U.S. Institute for Supply Management said its index of purchasing managers rose to 61.4 in February, after rising to 60.8 the previous month, surpassing expectations for a rise to 60.9.

Forex News

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


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

Other Topics

ForEx