The dollar is turning in a mixed performance Tuesday afternoon, falling against the Euro and the Japanese Yen, but rising against the British pound. Investors were confronted with a slew of U.S. economic reports this morning, but the data has had little impact on trading today. Traders are reluctant to make any major moves ahead of a speech from President Donald Trump before a joint session of Congress, which will occur this evening.
Economic growth in the U.S. in the fourth quarter of 2016 was unrevised in the latest report released by the Commerce Department on Tuesday. The report said gross domestic product increased by 1.9 percent in the fourth quarter, unrevised from the previous estimate. Economists had expected the pace of growth to be upwardly revised to 2.1 percent.
A report released by Standard & Poor's on Tuesday showed a substantial acceleration in the pace of home price growth in major U.S. metropolitan areas in the month of December. The report said the S&P CoreLogic Case-Shiller 20-City Composite Home Price Index jumped by 5.6 percent year-over-year in December compared to the 5.2 percent increase in November.
Economists had expected the annual rate of home price growth to come in unchanged compared to 5.3 percent increase originally reported for the previous month.
After reporting an unexpected slowdown in the pace of growth in Chicago-area business activity in the previous month, MNI Indicators released a report on Tuesday showing a much bigger than expected rebound in growth in the month of February.
MNI Indicators said its Chicago business barometer jumped to 57.4 in February after falling to 50.3 in January, with a reading above 50 indicating growth in business activity. Economists had expected the index to rise to 53.0.
Consumer confidence in the U.S. unexpectedly improved in the month of February, according to a report released by the Conference Board on Tuesday. The Conference Board said its consumer confidence index climbed to 114.8 in February after falling to a revised 111.6 in January.
Economists had expected the index to edge down to 110.9 from the 111.8 originally reported for the previous month.
The dollar fell to a low of $1.063 against the Euro Tuesday, but has since bounced back to around $1.06.
France's economy expanded at a faster pace, as estimated, in the fourth quarter driven by consumption and investment, the second estimate from the statistical office Insee showed Tuesday. Gross domestic product grew 0.4 percent sequentially, following a 0.2 percent expansion seen in the third quarter. The Insee confirmed the first estimate published on January 31.
France's inflation slowed marginally in February, preliminary data from the statistical office Insee showed Tuesday. Consumer price inflation unexpectedly eased to 1.2 percent in February from 1.3 percent in January. Economists had forecast the rate to rise to 1.5 percent.
France's household consumption grew strongly in January, after a decline in the previous month, on the back on robust spending on energy, figures from INSEE showed Tuesday. Household consumption rose 0.6 percent month-on-month after a 1 percent slump in December, which was revised from 0.8 percent fall. The growth was in line with economists' expectations.
The buck slipped to a low of $1.2470 against the pound sterling Tuesday, but has since climbed to around $1.2410.
Consumer confidence in the United Kingdom weakened further in February, the latest survey from GfK revealed on Tuesday with an index score of -6. That was in line with expectations and down from -5 in January.
The greenback dropped to a low of Y111.686 against the Japanese Yen Tuesday, but has since pared its losses to around Y112.075.
Industrial output in Japan fell 0.8 percent on month in January, the Ministry of Economy, Trade and Industry said on Tuesday. That missed forecasts for an increase of 0.4 percent following the 0.7 percent gain in December.
Retail sales in Japan were up a seasonally adjusted 0.5 percent on month in January, the Ministry of Economy, Trade and Industry said on Tuesday. That beat expectations for an increase of 0.3 percent after dropping an upwardly revised 1.6 percent in December.
Japan's housing starts expanded at a faster pace in January, the Ministry of Land, Infrastructure, Transport and Tourism showed Tuesday.
Housing starts growth accelerated unexpectedly to 12.8 percent in January from 3.9 percent in December. Economists had forecast the growth to slow to 3.3 percent. This was the seventh consecutive rise in housing starts.
Japan's small business confidence weakened for the second straight month in February, survey data from Shoko Chukin Bank showed Tuesday. The small business confidence indicator dropped to 47.7 in February from 48.3 in January. In December, the score was 48.3.
