Dollar catches a bid in New York as upbeat U.S. data trigger broad-based usd buying

The greenback snapped its recent losing streak and rallied broadly against its peers in New York session on Friday as release of upbeat U.S. economic data triggered short-covering.  
  
Reuters reported U.S. consumer spending rebounded in March amid a surge in income as households received additional COVID-19 pandemic relief money from the government, building a strong foundation for a further acceleration in consumption in the second quarter.    Consumer spending, which accounts for more than two-thirds of U.S. economic activity, increased 4.2% last month after falling 1.0% in February, the Commerce Department said on Friday. Personal income jumped 21.1% after declining 7.0% in February. Economists polled by Reuters had forecast consumer spending increasing 4.1% and income surging 20.3%.  
  
Versus the Japanese yen, the dollar initially fell from 109.05 to 108.72 in Asia. The pair then found renewed buying and rallied to fresh 2-week high of 109.37 at New York close due to broad-based usd's strength following release upbeat U.S. economic data.  
  
Although the single currency initially traded sideways in Asia, price then met selling at 1.2119 at European open and fell to 1.2069 in New York moening, intra-day decline quickly resumed and euro later tumbled to a near 1-week trough of 1.2017 ahead of New York close on broad-based usd's short covering.  
  
The British pound also moved narrowly in tandem with euro Asia and met renewed selling at 1.3958, intra-day decline accelerated in Euroepan morning and price later tanked to a near 2-week low of 1.3803 near New York close on broad-based usd's rebound as well as cross-selling in sterling especially versus euro.  
  
In other news, Reuters reported Dallas Federal Reserve Bank President Robert Kaplan on Friday warned of imbalances in U.S. financial markets and said he now believes the economy will meet the benchmarks the central bank set out for trimming its bond buying sooner than he had anticipated.  
  
Data to be released this week :  
  
Australia AIG manufacturing index, manufacturing PMI, Germany retail sales, Swiss manufacturing PMI, Italy markit manufacturing PMI, France markit manufacturing PMI, Germany markit manufacturing PMI, EU markit manufacturing PMI, Canada markit manufacturing PMI, U.S. markit manufacturing PMI, construction spending, ISM manufacturing PMI on Monday.  
  
Australia trade balance, imports, exports, RBA interest rate decision, France budget balance, Swiss consumer confidence, U.K. markit manufacturing PMI, U.S. trade balance, redbook, ISM New York index, durables ex-defense, durable goods, factory orders, durable ex-transport, Canada building permits, trade balance, exports, imports, New Zealand GDT price index on Tuesday.  
  
Australia AIG construction index, services PMI, building permits, New Zealand unemployment rate, employment change, labour cost, Swiss CPI, Italy markit services PMI, France markit services PMI, Germany markit services PMI, EU markit services PMI, producer prices, U.S. MBA mortgage app, ADP employment change, markit services PMI, ISM non-manufacturing PMI on Wednesday.  
  
New Zealand building permits, ANZ business confidence, ANZ activity outlook, Japan services PMI, China caixin services PMI, Germany industrial orders, U.K. RICS housing price balance, markit services PMI, BOE interest rate decision, asset purchase program, BOE QE total, BOE QE corporate bond purchases, BoE MPC ote hike, BoE MPC vote unchanged, BoE MPC vote cut, EU retail sales, U.S. initial jobless claims, continuous jobless claims, labour costs, productivity on Thursday.  
  
Australia AIG services index, China exports, imports, trade balance, New Zealand inflation forecast, Swiss unemployment rate, Germany industrial output, exports, imports, trade balance, current account, France current account, industrial output, non-farm payrolls, trade balance, imports, exports, Italy retail sales, U.K. Markit construction PMI, U.S. non-farm payrolls, private payrolls, unemployment rate, average earnings, wholesale inventory, wholesale sales, Canada employment change, unemployment rate on Friday.