Dollar flat as US home sales jump but budget uncertainty remains
Currencies Direct February 27th 2013 - < 1 minute read
The dollar is flat in foreign currency trading
this morning (February 27th) as uncertainty permeates the markets
due to ongoing budget concerns.
This is in spite of the fact the US has registered surprisingly
strong economic data, suggesting the recovery may be picking up
pace.
New home sales – a lead component of past recoveries – climbed by
16 per cent in January to the highest rate since July 2008, while
the Conference Board index of consumer attitudes rebounded to 69.6
in February – which is the highest reading since November from an
upwardly-revised 58.6 in January.
Barack Obama has urged Congress to take action to dodge deep
spending cuts due to commence on March 1st. He warned that teaching
jobs and the defence industry will be the worst hit if no action is
taken.
At 08:35 GMT, the dollar retreated by 0.2 per cent against the
euro to 0.763 EUR, while it was flat against the pound at 0.661
GBP.
Written by
Currencies Direct