The US dollar was mostly unchanged vs. the major currencies as US markets are closed for the Independence Day holiday.
The euro edged higher against the dollar as investors took profit from yesterday’s weakness in the euro. Weak data from Euro Zone had little effect in holiday thinned markets. Retail sales fell 0.4% month-on-month and fell 3.3% year-on-year. The Eurozone Services Purchasing Managers Index in June was at 44.7, down from 44.8 in May.
The British pound was slightly higher against the dollar on profit taking. An index of UK services PMI eased to 51.6 in June, lower than forecasts of 52.0. Analysts say that the sterling’s moves are mostly driven by the dollar.
The Japanese yen remained steady against the dollar in the absence of economic news between the two countries.
The Canadian dollar edged higher against the dollar today in thin trading with US markets closed for a holiday. Steady crude oil prices did not affect the commodity-linked currency.
The Australian dollar strengthened against the dollar after the release of robust domestic data. Data showed that vehicle sales surged 36.3% in June to their third highest volume ever. The services sector survey’s index of sales climbed to 55.2, the highest reading since the start of 2008.
The New Zealand dollar weakened against the dollar with fresh doubts on a prospect for global recovery. Investors retreated from high-yielding currencies like the kiwi into safe-haven currencies.
