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Forex - Dollar up vs. most rivals amid uncertainty over Greek aid

Published 04/27/2010, 07:02 AM
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Investing.com – The U.S. dollar rose against most other major currencies on Tuesday, amid uncertainty over the timing and amount of an EU-IMF rescue package that Greece was seeking to secure to avert a default.

The dollar was up against the euro, with EUR/USD shedding 0.54% to hit 1.331 after Germany, the euro zone's largest economy, demanded on Monday that Athens take further painful austerity steps in return for receiving the emergency funds.

The greenback also surged versus sterling, with GBP/USD slumping 0.75% to hit 1.5342 after opinion polls signaled the upcoming U.K. election may produce a coalition government that lacks the political strength to cut Britain's budget deficit. Also Tuesday, industry data showed that U.K. retail sales grew in April at a slower-than-expected pace.

Meanwhile, the dollar climbed against the Swiss franc, with USD/CHF gaining 0.52% to hit 1.0785. The greenback was also up versus its Australian, Canadian and New Zealand counterparts: AUD/USD dropped 0.39% to hit 0.9233, USD/CAD rose 0.235% to hit 1.0033 and NZD/USD slid 0.44% to reach 0.72.

But the greenback was down against the yen, with USD/JPY sliding 0.23% to reach 93.96.

The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.23%.

Later in the day, the Conference Board, a research group, was due to publish a closely watched index measuring U.S. consumer confidence. The Federal Reserve chairman, Ben Bernanke, meanwhile, was set to testify before the National Commission on Fiscal Responsibility and Reform in Washington D.C.

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