Investing.com - The U.S. dollar remained broadly higher against the other major currencies on Tuesday, as concerns over the worsening of the euro zone debt crisis supported demand for the safe haven greenback, although new media reports lifted hopes for progress in Greece.
During European afternoon trade, the dollar was close to two-month highs against the euro, with EUR/USD down 0.20% to 1.2684.
The euro found some support after German newspaper Bild reported earlier that Greece is to receive EUR44 billion of financial aid in one payment, citing German government sources.
Also Tuesday, Greece sold EUR4.06 billion of short term government bonds, which should help Athens to repay EUR5 billion of debts maturing on Friday.
The shared currency earlier fell to session lows against the greenback after data showed that German economic sentiment dropped unexpectedly this month, adding to concerns over a slowdown in the euro zone’s largest economy.
The ZEW Centre for Economic Research said that its index of German economic sentiment fell to minus 15.7 in November from October’s reading of minus 11.5. Analysts had expected the index come in at minus 9.8 this month.
The report said that "recessionary developments" in the euro zone are expected to curtail German economic growth in the next six months.
Meanwhile, ongoing concerns over the U.S. fiscal cliff continued to underpin demand for the greenback.
The greenback was steady lower against the pound, with GBP/USD dipping 0.01% to 1.5877.
The pound found some support after official data showed that U.K. consumer prices rose sharply in October, as a result of increases in the cost of food, transport and university fees.
The Office for National Statistics said the annual rate of consumer price inflation accelerated to 2.7% in October from 2.2% in September and a five month high.
Elsewhere, the greenback was little changed against the yen, with USD/JPY easing 0.03% to trade at 79.47, and edged higher against the Swiss franc, with USD/CHF adding 0.13% to 0.9495.
The greenback was higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD rising 0.23% to 1.0021, AUD/USD slipping 0.13% to 1.0414 and NZD/USD edging down 0.15% to 0.8162.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.15% to 81.24.
Later Tuesday, the U.S. was to release official data on the federal budget balance.
During European afternoon trade, the dollar was close to two-month highs against the euro, with EUR/USD down 0.20% to 1.2684.
The euro found some support after German newspaper Bild reported earlier that Greece is to receive EUR44 billion of financial aid in one payment, citing German government sources.
Also Tuesday, Greece sold EUR4.06 billion of short term government bonds, which should help Athens to repay EUR5 billion of debts maturing on Friday.
The shared currency earlier fell to session lows against the greenback after data showed that German economic sentiment dropped unexpectedly this month, adding to concerns over a slowdown in the euro zone’s largest economy.
The ZEW Centre for Economic Research said that its index of German economic sentiment fell to minus 15.7 in November from October’s reading of minus 11.5. Analysts had expected the index come in at minus 9.8 this month.
The report said that "recessionary developments" in the euro zone are expected to curtail German economic growth in the next six months.
Meanwhile, ongoing concerns over the U.S. fiscal cliff continued to underpin demand for the greenback.
The greenback was steady lower against the pound, with GBP/USD dipping 0.01% to 1.5877.
The pound found some support after official data showed that U.K. consumer prices rose sharply in October, as a result of increases in the cost of food, transport and university fees.
The Office for National Statistics said the annual rate of consumer price inflation accelerated to 2.7% in October from 2.2% in September and a five month high.
Elsewhere, the greenback was little changed against the yen, with USD/JPY easing 0.03% to trade at 79.47, and edged higher against the Swiss franc, with USD/CHF adding 0.13% to 0.9495.
The greenback was higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD rising 0.23% to 1.0021, AUD/USD slipping 0.13% to 1.0414 and NZD/USD edging down 0.15% to 0.8162.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.15% to 81.24.
Later Tuesday, the U.S. was to release official data on the federal budget balance.