US dollar index is slipping right now, after seeing gains earlier in the session. Forex traders are looking for direction right now as economic data comes in from various sources.
For now, US dollar is lower against the euro, and the dollar index is slipping a bit. Earlier, the dollar index was near its seven-month high, but the index has since fallen below today’s open.
Greenback got a bit of a boost earlier on expectations that the Federal Reserve will ease its stimulus efforts later this year. Retail sales data for February is expected to be released tomorrow, and the news is thought to be encouraging. If retail sales have improved, the signs of an improving US economy might lead to the Fed reducing its asset purchase program. Greenback got a little help, but that has since evaporated as the dollar moves lower against the euro.
Despite the lower dollar index, the greenback is, in fact, mostly higher against its other counterparts. Its struggle against the euro accounts for the lower dollar index, since the euro is the most heavily weighted currency in the basket.
At 14:12 GMT US dollar index is down to 82.459 from the open at 82.691. EUR/USD is up to 1.3068 from the open at 1.3047. GBP/USD is down to 1.4869 from the open at 1.4918.
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