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Dollar little changed vs. other majors in subdued trade

Published 06/25/2015, 10:49 AM
© Reuters.  Dollar holds steady vs. counterparts as Greece remains in focus
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Investing.com - The dollar pared gains against a basket of other major currencies in subdued trade on Thursday, after upbeat U.S. economic reports as investors continued to monitor ongoing Greek debt negotiations.

The Commerce Department said that personal spending rose by 0.9% in May, above expectations for a gain of 0.7%. Personal spending rose 0.1% in April, whose figure was revised up from a previously reported flat reading.

The report also showed personal income rose by 0.5% in May, in line with forecasts and after rising 0.5% in April.

Separately, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending June 20 increased by 3,000 to 271,000 from the previous week’s total of 268,000. Analysts had expected initial jobless claims to rise by 4,000 to 272,000 last week.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was steady at 95.39, after hitting highs of 95.70 earlier in the day.

EUR/USD was steady at 1.1200, after falling to lows of 1.154 earlier in the session.

Talks between Greece and its creditors remained inconclusive, as discussions continued over the latest proposed reforms from Greece’s creditors and Greece’s counter-proposal.

Time is running out for the Greek government to secure a deal to unlock bailout funds ahead of the looming deadline for a €1.6 billion repayment to the International Monetary Fund on June 30.

If Greece misses the payment it risks going into default, which could trigger the country’s exit from the euro area.

Earlier Thursday, data showed that Germany's Gfk consumer climate index ticked down to 10.1 in June from 10.2 the previous month, in line with expectations.

The pound pushed higher, with GBP/USD up 0.24% at 1.5744.

Elsewhere, the dollar was lower against the yen, with USD/JPY down 0.21% to 123.58 and higher against the Swiss franc, with USD/CHF rising 0.25% to 0.9360.

The Swiss National Bank Chief Thomas Jordan earlier said that the franc is "markedly" overvalued.

"The global economy has been in a nearly permanent state of crisis for almost eight years," Jordan said during a speech in Lausanne. "The pressure on the franc is the mirror image of this."

The Australian and New Zealand dollars were higher, with AUD/USD up 0.51% to 0.7741 and with NZD/USD rising 0.31% to 0.6912.

Meanwhile, USD/CAD slid 0.31% to trade at 1.2347.

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