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Dollar remains broadly higher on strong U.S. consumer sentiment

Published 11/13/2015, 10:49 AM
Dollar holds onto gains after upbeat UoM report
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Investing.com - The dollar remained broadly higher against the other major currencies on Friday, as strong U.S. consumer sentiment data offset a string of weaker U.S. reports released earlier and added to expectations for December rate hike by the Federal Reserve.

USD/JPY edged up 0.10% to 122.71.

In a preliminary report, the University of Michigan said its consumer sentiment index rose to 93.1 this month from 90.0 in October, compared to expectations for a reading of 91.5.

The report came shortly after data showed that U.S. retail sales ticked up 0.1% in October, compared to expectations for a 0.3% rise, after a 0.1% gain the previous month.

Core retail sales, which exclude automobiles, increased by 0.2%, disappointing expectations for a 0.4% gain.

Another report showed that U.S. producer price inflation fell 0.4% last month, confounding expectations for a 0.2% rise, after a 0.5% decline in September.

EUR/USD dropped 0.68% to 1.07542.

The single currency came under pressure after preliminary data earlier showed that euro zone gross domestic product rose 0.3% in the third quarter, missing expectations for a 0.4% gain, after a growth rate of 0.4% in the previous quarter.

Data also showed that German GDP rose 0.3% in the third quarter, in line with expectations and down from the previous quarter's growth rate of 0.4%.

French GDP also rose 0.3% in the three months to September, in line with expectations.

Elsewhere, the dollar moved higher against the pound and the Swiss franc, with GBP/USD down 0.17% at 1.5201 and with USD/CHF climbing 0.61% to 1.0063.

The Australian and New Zealand dollars were weaker, with AUD/USD shedding 0.24% to 0.7109 and with NZD/USD sliding 0.37% to 0.6523.

Meanwhile, USD/CAD advanced 0.41% to trade at fresh one-month highs of 1.3342.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.55% at 99.11, re-approaching Tuesday's seven-month highs of 99.60.

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