Dollar mixed ahead of Fed minutes

Story link: Dollar mixed ahead of Fed minutes

The US dollar was slightly stronger in relation to the euro and the yen on Tuesday, but it weakened against sterling as investors awaited the release of minutes from the most recent meeting of the US Federal Reserve. Help for the dollar was found in new core producer price index data, which does not take into account food and energy costs. The index was up only 0.1 percent in March, less than had been anticipated. Other new economic data included news that housing starts were down 7.8 percent in March.

The greenback gained 0.1 percent on the euro and it was also up 0.1 percent to ¥117.7. However, the dollar dropped 0.2 percent to $1.7762 versus sterling, the lowest level since February.

The strength of the Swiss franc was mixed as well. World events helped it add 0.1 percent against the US dollar, to SFr1.2759, the highest it has been in three months. However it dropped by 0.1 percent versus sterling, to SFr2.2662.

Another currency with mixed fortunes on the day was the euro. Sterling gained 0.3 percent on the shared currency to £0.6909, but the Japanese yen was slightly weaker versus the euro at ¥144.47.

So far this week, both the Australian and New Zealand dollars have gained on the US dollar. The Aussie has advanced by 1.7 percent to $0.7383 against the greenback, while the Kiwi has added 1.4 percent to $0.6272.

The Mexican peso has also advanced on the US dollar ahead of the upcoming presidential election in Mexico, where Mexico City’s mayor holds a 38 percent to 34 percent lead over the conservative ruling party candidate in the latest polls. The peso added 0.9 percent to 10.9825 pesos to the dollar.