Dollar Paring Early Gains In Holiday Trade
The dollar got off to a positive start against its major rivals Monday, but has since pared its early gains. While markets remain open on Columbus day, the holiday is keeping some investors away from their desks.
The lack of U.S. economic data is also keeping some investors on the sidelines. Things will remain quiet on the economic front on Tuesday as well, but will begin to pick up on Wednesday, with the release of the producer price index and wholesale trade data.
The dollar climbed to a high of $1.1459 against the Euro Monday, but has since retreated to around $1.1490.
Eurozone investor confidence weakened in October largely due to uncertainties about the fiscal policy stance in Italy and the automobile industry in Germany, survey data from think tank Sentix showed Monday.
The investor sentiment index fell more-than-expected to 11.4 in October from 12.0 in September. The expected reading was 11.8.
Germany's industrial production declined unexpectedly in August on a notable weakness in construction, suggesting that the economy lost some momentum in the third quarter.
Data from Destatis showed that industrial output slid 0.3 percent from July, confounding expectations for an increase of 0.5 percent. This was the third consecutive decline in output. Production had decreased 1.3 percent in July. The buck rose to an early high of $1.3028 against the pound sterling Monday, but has since eased back to around $1.3090.
The greenback reached a high of Y113.943 against the Japanese Yen Monday morning, but has since dropped to around Y112.975.