Investing.com - The euro was little changed against the U.S. dollar on Friday, after disappointing U.S. economic reports added to speculation that the nation's economic recovery is not yet strong enough for the Federal Reserve to soon begin tapering its stimulus program.
EUR/USD hit 1.3380 during U.S. morning trade, the pair's highest since August 9; the pair subsequently consolidated at 1.3353, inching up 0.05%.
The pair was likely to find support at 1.3278, the low of August 12 and near-term resistance at 1.3391, the high of August 9.
In a preliminary report, the University of Michigan said its consumer sentiment index fell to 80.0 in August, from a reading of 85.1 the previous month. Analysts had expected the index to rise to 85.5 this month.
The report came after official data showed that U.S. building permits rose 2.7% to 0.943 million units in July, disappointing expectations for an increase of 2.9% to 0.945 million units. The previous month's figure was revised up to 0.918 million units from 0.911 million.
The report also showed that housing starts rose 5.9% to 0.896 million units last month, confounding expectations for a 8.3% increase to 0.900 million units. The previous month's figure was revised up to 0.846 million units from 0.836 million.
Separately, the Bureau of Labor Statistics said in a preliminary report that nonfarm productivity rose 0.9% in the second quarter, beating expectations for a 0.6% gain, after a 1.7% decline in the previous quarter.
The euro was steady against the pound with EUR/GBP easing up 0.05%, to hit 0.8541.
In the euro zone, official data showed that consumer price inflation remained unchanged at an annualized rate of 1.6% in July, in line with expectations.
The bloc's core consumer price inflation, which excludes food, energy, alcohol, and tobacco, slipped to an annualized rate 1.1% last month, from 1.2% in June.
The data came after the European Central Bank said the current account surplus narrowed more than expected in June, falling to EUR16.9 billion from a surplus of EUR19.5 billion the previous month.
Analysts had expected the current account surplus to narrow to EUR19.0 billion in June.
EUR/USD hit 1.3380 during U.S. morning trade, the pair's highest since August 9; the pair subsequently consolidated at 1.3353, inching up 0.05%.
The pair was likely to find support at 1.3278, the low of August 12 and near-term resistance at 1.3391, the high of August 9.
In a preliminary report, the University of Michigan said its consumer sentiment index fell to 80.0 in August, from a reading of 85.1 the previous month. Analysts had expected the index to rise to 85.5 this month.
The report came after official data showed that U.S. building permits rose 2.7% to 0.943 million units in July, disappointing expectations for an increase of 2.9% to 0.945 million units. The previous month's figure was revised up to 0.918 million units from 0.911 million.
The report also showed that housing starts rose 5.9% to 0.896 million units last month, confounding expectations for a 8.3% increase to 0.900 million units. The previous month's figure was revised up to 0.846 million units from 0.836 million.
Separately, the Bureau of Labor Statistics said in a preliminary report that nonfarm productivity rose 0.9% in the second quarter, beating expectations for a 0.6% gain, after a 1.7% decline in the previous quarter.
The euro was steady against the pound with EUR/GBP easing up 0.05%, to hit 0.8541.
In the euro zone, official data showed that consumer price inflation remained unchanged at an annualized rate of 1.6% in July, in line with expectations.
The bloc's core consumer price inflation, which excludes food, energy, alcohol, and tobacco, slipped to an annualized rate 1.1% last month, from 1.2% in June.
The data came after the European Central Bank said the current account surplus narrowed more than expected in June, falling to EUR16.9 billion from a surplus of EUR19.5 billion the previous month.
Analysts had expected the current account surplus to narrow to EUR19.0 billion in June.