Today’s data from the United States was mildly supportive for the US currency, which has been also bolstered by the general risk-negative market sentiment. The dollar gained on the euro but fell versus the Great Britain pound and was flat against the Japanese yen.
US housing data was a bit mixed as housing starts came out below expectations. Still, the indicator was at its highest level since October 2007. The strong reading added to optimism about the US economy, increasing attractiveness of the dollar to investors.
The greenback also profited from the sour traders’ mood that had been spoiled by yet another dive of Chinese stocks. As a result, Forex market participants were flocking to safer currencies, and the dollar happens to be one of them.
EUR/USD dropped from 1.1067 to 1.1026 as of 20:58 GMT today. GBP/USD gained from 1.5582 to 1.5657 but retreated from the daily high of 1.5716. USD/JPY was basically at its opening rate of 124.38.
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