May 25, 2021 12:41 GMTFXStreet News
USD/CAD is struggling to find direction on Tuesday.
US Dollar Index remains on the back foot below 90.00.
Falling crude oil prices limit commodity-sensitive CAD’s gains.
The USD/CAD pair is moving sideways in a very tight range on Tuesday. As of writing, the pair was virtually unchanged on a daily basis at 1.2040.
Focus shifts to US data
Although the greenback continues to have a difficult time finding demand, the poor performance of crude oil is not allowing CAD to outperform its American counterpart.
With the market mood remaining upbeat for the second straight day, the US Dollar Index is losing 0.22% at 89.65. Later in the session, the Conference Board’s Consumer Confidence Index and New Home Sales data from the US will be looked upon for fresh impetus.
US Consumer Confidence Holds Steady In May: Report
05/25/21 AT 11:30 AM
American consumers were very upbeat about the current economic situation this month but more uncertain about the near-term outlook, according to a survey released on Tuesday.
With that mixed sentiment, the Conference Board s Consumer Confidence Index held steady in May at 117.2 from 117.5 in April a figure revised sharply lower but still the highest since March 2020, when the pandemic shuttered the US economy.
Respondents this month expressed more confidence about current business conditions and job prospects, and the present situation index jumped more than 12 points to 144.3, the report said.
However, the expectations index fell nearly nine points to 99.1, with consumers less optimistic about the chance of finding jobs and about the business environment in the coming six months.
Consumer Confidence Stalls as Hope Falls Apart
Stefani Reynolds-Pool/Getty Images
25 May 2021
Consumer confidence notched down slightly in May as improved assessments of current conditions were swamped by a negative turn in expectations for later this year.
The Conference Board reported Tuesday that its consumer confidence index fell to 117.2 from April’s 117.5 reading, the highest level since February of 2020, just before the pandemic began.
The expectations component of the index, which asks consumers to look out over the next six months, unexpectedly turned sharply downward, falling to 99.1 from 107.9 in April.
The share of consumers expecting business conditions to improve over the next six months fell from 33.1 percent to 30.3 percent, while the share expecting business conditions to worsen rose from 12.1 percent to 14.8 percent. The proportion expecting more jobs fell from 31.7 percent to 27.2 percent, while those anticipating fewer jobs rose from 14.4 percent last mo
May 25, 2021 18:51 GMTFXStreet News
EUR/USD turned south after rising to 1.2266 on Tuesday.
US Dollar Index stages a modest recovery during American trading hours.
Fed’s Clarida says Fed could discuss scaling purchases in upcoming meetings.
The EUR/USD pair climbed to its highest level since early January at 1.2266 on Tuesday but lost its bullish momentum in the second half of the day. As of writing, the pair was still up 0.17% on a daily basis at 1.2235.
USD selloff pauses
Earlier in the day, the broad-based selling pressure surrounding the greenback helped EUR/USD build on Monday’s gains. Additionally, the data from Germany revealed that the IFO survey’s Current Assessment improved to 95.7 in May from 94.2 in April. This reading came in better than the market expectation of 95.5 and helped the shared currency gather strength against its rivals.
USD/CHF off multi-month lows, still in the red around 0.8960-55 ahead of US dataNEWS |
5/25/2021 12:46:31 PM GMT | By Haresh Menghani
A broad-based USD weakness prompted some fresh selling around USD/CHF on Tuesday.
Dovish Fed expectations, sliding US bone yields continued exerting pressure on the buck.
The upbeat market mood undermined the safe-haven CHF and helped limit the downside.
The USD/CHF pair maintained its offered tone through the mid-European session, albeit has managed to rebound around 30 pips from over three-month lows touched earlier this Tuesday. The pair was last seen trading near the 0.8960 region, still down nearly 0.15% for the day.