Dollar mixed ahead of key data
Wednesday, 18 July 2007
TOKYO, July 17 (AFP): The dollar edged up against the yen but stayed close to a record low against the euro in Asian trade today as players sat on their hands ahead of a batch of US economic data, dealers said.
They said the market was also looking ahead to an upcoming speech by US Federal Reserve chairman Ben Bernanke.
The dollar firmed to 121.96 yen in Tokyo afternoon trade from 121.88 in New York late Monday.
The euro was up to 1.3782 dollars from 1.3774, close to its record high of 1.3814 struck last week. The single currency rose to 168.02 yen from 167.85.
The British pound declined to 2.0354 dollars as players locked in profits after sterling hit a fresh 26-year high of 2.0404 dollars, dealers said.
Other major currencies moved within narrow ranges as players awaited fresh leads on the health of the US economy amid concern about problems in the sub-prime mortgage market catering to people with patchy credit histories.
"Trade is directionless as the market is waiting for key indicators given concern about the US sub-prime market," said Yoshifumi Suzuki, forex dealer at Hachijuni Bank.
Bernanke meanwhile is due to give semi-annual Congressional testimony Wednesday with markets eager to hear his assessment of the health of the housing market and the inflation outlook, dealers said.
In recent weeks, the dollar has fallen sharply on concerns that the troubled US housing sector could spread into the wider American economy.
The euro and the British pound meanwhile remained supported by prospects of rising interest rates in Europe, dealers said.
Support for New Zealand's dollar has increased since data released Monday showed the country's consumer price index rose by a larger than expected 1.0 per cent in the three months to June.
They said the market was also looking ahead to an upcoming speech by US Federal Reserve chairman Ben Bernanke.
The dollar firmed to 121.96 yen in Tokyo afternoon trade from 121.88 in New York late Monday.
The euro was up to 1.3782 dollars from 1.3774, close to its record high of 1.3814 struck last week. The single currency rose to 168.02 yen from 167.85.
The British pound declined to 2.0354 dollars as players locked in profits after sterling hit a fresh 26-year high of 2.0404 dollars, dealers said.
Other major currencies moved within narrow ranges as players awaited fresh leads on the health of the US economy amid concern about problems in the sub-prime mortgage market catering to people with patchy credit histories.
"Trade is directionless as the market is waiting for key indicators given concern about the US sub-prime market," said Yoshifumi Suzuki, forex dealer at Hachijuni Bank.
Bernanke meanwhile is due to give semi-annual Congressional testimony Wednesday with markets eager to hear his assessment of the health of the housing market and the inflation outlook, dealers said.
In recent weeks, the dollar has fallen sharply on concerns that the troubled US housing sector could spread into the wider American economy.
The euro and the British pound meanwhile remained supported by prospects of rising interest rates in Europe, dealers said.
Support for New Zealand's dollar has increased since data released Monday showed the country's consumer price index rose by a larger than expected 1.0 per cent in the three months to June.