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Forex - Dollar mixed vs. rivals as Obama outlines 2012 budget

Published 02/14/2011, 10:54 AM
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Investing.com – The U.S. dollar was mixed against its major counterparts on Monday, after U.S. President Barack Obama said his 2012 budget was a "down payment" on what was needed to get the U.S. on a strong fiscal path.

During European late afternoon trade, the greenback was up against the euro, with EUR/USD shedding 0.64% to hit 1.3462.

Earlier in the day, media outlets reported that ailing German lender WestLB could be preparing to outline a government-supported restructuring plan before the European Commission's deadline on Tuesday, setting the groundwork for breaking up the bank.

The greenback was also up against the pound, with GBP/USD dipping 0.05% to hit 1.5994.

Elsewhere, the greenback was lower against the yen and the Swiss franc, with USD/JPY easing down 0.11% to hit 83.33 and USD/CHF shedding 0.34% to hit 0.9695.

Earlier in the day, official data showed that Japan’s gross domestic product fell less-than-estimated in the fourth quarter, declining by a seasonally adjusted 0.3%, after rising by a revised 0.8% in the preceding quarter, beating expectations for a decline of 0.5%.

Meanwhile, the greenback was up against its Canadian, Australian and New Zealand counterparts, with USD/CAD easing up 0.07% to hit 0.9882, AUD/USD edging down 0.05% to hit 1.0014 and NZD/USD shedding 0.63% to hit 0.7556.

Earlier Monday, official data showed that Australian home-loan approvals rose more-than-expected in December while a separate report showed that retail sales in New Zealand fell more-than-expected in December.

The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.33%.

Later in the day, European finance ministers were to meet in Brussels to explore steps to expand the lending capacity of the European Financial Stability Facility. However, Germany remained reluctant to bolster the facility without euro zone commitments on closer economic coordination.

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