Investing.com - The dollar came off highs against the other major currencies on Monday after U.S. retail sales missed expectations in June, fuelling fears that the economic recovery is losing momentum.
During European afternoon trade, the dollar trimmed gains against the euro, with EUR/USD down 0.17% to 1.3043, up from lows of 1.2994.
The Commerce Department said U.S. retail sales rose 0.4% in June, slowing from a 0.5% increase in May and undershooting expectations for a 0.8% increase.
Core retail sales, which exclude automobile sales, were flat last month, compared to expectations for a 0.4% increase.
The data came after Federal Reserve Chairman Ben Bernanke said last week that the U.S. economy still needs monetary stimulus. The comments saw investors reassess expectations that the Fed will start to unwind its USD85 billion-a-month bond buying program later this year.
Elsewhere, the dollar retreated from session highs against the pound, with GBP/USD down 0.07% to 1.5095, after falling to lows of 1.5028 earlier.
The dollar also pared gains against the yen, with USD/JPY up 0.84% to 100.06, down from highs of 100.48. The dollar strengthened against the yen earlier after data showed that Chinese economic growth met expectations in the second quarter, easing concerns over a slowdown in the world’s second largest economy.
Official data showed that Chinese gross domestic product expanded 7.5% in the second quarter from a year earlier, following growth of 7.7% in the three months to March and in line with expectations.
Markets in Japan remained closed for a national holiday on Monday.
The dollar pulled away from session highs against the Swiss franc, with USD/CHF up 0.31% to 0.9492.
The greenback was mixed against its Australian, New Zealand and Canadian counterparts, with AUD/USD rising 0.30% to 0.9074, NZD/USD edging up 0.06% to 0.7778 and USD/CAD rising 0.10% to 1.0406.
The Australian and New Zealand dollars touched session highs earlier in the trading day following the release of the Chinese data.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.23% to 83.30.
Also Monday, data showed that the Empire State manufacturing index rose to a five-month high of 9.5 in July from 7.8 in June. Economists had forecast a reading of 5.0.
During European afternoon trade, the dollar trimmed gains against the euro, with EUR/USD down 0.17% to 1.3043, up from lows of 1.2994.
The Commerce Department said U.S. retail sales rose 0.4% in June, slowing from a 0.5% increase in May and undershooting expectations for a 0.8% increase.
Core retail sales, which exclude automobile sales, were flat last month, compared to expectations for a 0.4% increase.
The data came after Federal Reserve Chairman Ben Bernanke said last week that the U.S. economy still needs monetary stimulus. The comments saw investors reassess expectations that the Fed will start to unwind its USD85 billion-a-month bond buying program later this year.
Elsewhere, the dollar retreated from session highs against the pound, with GBP/USD down 0.07% to 1.5095, after falling to lows of 1.5028 earlier.
The dollar also pared gains against the yen, with USD/JPY up 0.84% to 100.06, down from highs of 100.48. The dollar strengthened against the yen earlier after data showed that Chinese economic growth met expectations in the second quarter, easing concerns over a slowdown in the world’s second largest economy.
Official data showed that Chinese gross domestic product expanded 7.5% in the second quarter from a year earlier, following growth of 7.7% in the three months to March and in line with expectations.
Markets in Japan remained closed for a national holiday on Monday.
The dollar pulled away from session highs against the Swiss franc, with USD/CHF up 0.31% to 0.9492.
The greenback was mixed against its Australian, New Zealand and Canadian counterparts, with AUD/USD rising 0.30% to 0.9074, NZD/USD edging up 0.06% to 0.7778 and USD/CAD rising 0.10% to 1.0406.
The Australian and New Zealand dollars touched session highs earlier in the trading day following the release of the Chinese data.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.23% to 83.30.
Also Monday, data showed that the Empire State manufacturing index rose to a five-month high of 9.5 in July from 7.8 in June. Economists had forecast a reading of 5.0.