Investing.com - The dollar fell against the world's major currencies on Thursday trailing sluggish durable goods data that sparked an equities sell-off on sentiment the U.S. economy is hitting a pothole on its road to recovery, although investors picked the yen and euro over the greenback when selling equities.
The euro firmed against the dollar in Asian trading Thursday, with EUR/USD rising 0.09% and trading at 1.3327, mainly on sentiment that European policymakers were closer to bolstering a financial firewall to contain the debt crisis.
The dollar, meanwhile, was weaker against the yen, also a safe-haven currency, on sentiment that Japanese exporters will bring money back into the country as the quarter nears an end.
In the U.S., the Commerce Department reported durable goods orders increased 2.2% in February, not enough to fully reverse January's revised 3.6% decline.
The number also failed to meet expectations for a 3.0% increase.
The numbers came in wake of stable albeit U.S. disappointing housing numbers and consumer confidence figures.
Recent dovish comments from Federal Reserve Chairman Ben Bernanke that loose monetary policies must stay in place as improvements in unemployment rates are likely companies refilling positions made vacant during the recession weakened the dollar as well.
Bernanke has also said that he cannot rule out extraordinary stimulus measures such as quantitative easing, which are asset purchases from banks designed to juice the economy and encourage hiring by flooding the country with liquidity in a way that weakens the greenback.
However, expectations for such policies have largely been factored in trading strategies, even if upcoming initial jobless claims and quarterly economic growth numbers disappoint.
Such sentiment left the market feeling that weak durable goods data was worse for stocks than the greenback, prompting investors to ditch equities and stock up on greenbacks, although the trend ended when the euro and yen took the spotlight after Asia's opening on Thursday.
The greenback, meanwhile, was down against the pound, with GBP/USD up 0.07% and trading at 1.5899.
The greenback was down against the yen, with USD/JPY trading down 0.21% at 82.72, and down against the Swiss franc, with USD/CHF trading down 0.07% at 0.9046.
The greenback was mixed against its cousins in Canada, Australia and New Zealand, with USD/CAD down 0.07% at 0.9977, AUD/USD down 0.22% at 1.0366 and NZD/USD up 0.09% at 0.8175.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.02% at 79.28.
On Thursday in the U.S., gross domestic product figures, initial jobless claims and results from the Federal Reserve Bank of Kansas City quarterly manufacturers' survey are due out.
Fed Chairman Ben Bernanke is due to make an appearance in public as well.
The euro firmed against the dollar in Asian trading Thursday, with EUR/USD rising 0.09% and trading at 1.3327, mainly on sentiment that European policymakers were closer to bolstering a financial firewall to contain the debt crisis.
The dollar, meanwhile, was weaker against the yen, also a safe-haven currency, on sentiment that Japanese exporters will bring money back into the country as the quarter nears an end.
In the U.S., the Commerce Department reported durable goods orders increased 2.2% in February, not enough to fully reverse January's revised 3.6% decline.
The number also failed to meet expectations for a 3.0% increase.
The numbers came in wake of stable albeit U.S. disappointing housing numbers and consumer confidence figures.
Recent dovish comments from Federal Reserve Chairman Ben Bernanke that loose monetary policies must stay in place as improvements in unemployment rates are likely companies refilling positions made vacant during the recession weakened the dollar as well.
Bernanke has also said that he cannot rule out extraordinary stimulus measures such as quantitative easing, which are asset purchases from banks designed to juice the economy and encourage hiring by flooding the country with liquidity in a way that weakens the greenback.
However, expectations for such policies have largely been factored in trading strategies, even if upcoming initial jobless claims and quarterly economic growth numbers disappoint.
Such sentiment left the market feeling that weak durable goods data was worse for stocks than the greenback, prompting investors to ditch equities and stock up on greenbacks, although the trend ended when the euro and yen took the spotlight after Asia's opening on Thursday.
The greenback, meanwhile, was down against the pound, with GBP/USD up 0.07% and trading at 1.5899.
The greenback was down against the yen, with USD/JPY trading down 0.21% at 82.72, and down against the Swiss franc, with USD/CHF trading down 0.07% at 0.9046.
The greenback was mixed against its cousins in Canada, Australia and New Zealand, with USD/CAD down 0.07% at 0.9977, AUD/USD down 0.22% at 1.0366 and NZD/USD up 0.09% at 0.8175.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.02% at 79.28.
On Thursday in the U.S., gross domestic product figures, initial jobless claims and results from the Federal Reserve Bank of Kansas City quarterly manufacturers' survey are due out.
Fed Chairman Ben Bernanke is due to make an appearance in public as well.