The dollar edged ahead on Tuesday, as worries that Greece was tilting towards debt default dragged on the euro and US housing data encouraged speculation that the Federal Reserve will soon raise interest rates. Except for the euro, which was off 0.5 percent against the dollar, movements in major currencies versus the dollar were modest ahead of a Fed policymaker meeting starting on Tuesday and a news conference and economic outlook statement due on Wednesday.
Both Greece and its creditors pushing for spending cuts continued to harden their stances following the latest breakdown in talks over the weekend. "Unfortunately, there is little new to report," German Chancellor Angela Merkel told a news conference in Luxembourg, while in Athens Greek Prime Minister Alexis Tsipras accused the euro zone and the International Monetary Fund of trying to "humiliate" Greece.
Greece owes 1.6 billion euros to the IMF that could potentially leave it out of cash. The euro was last at $1.224. It hit a session low of $1.1205 immediately after the Commerce Department said US housing permits for future construction surged to a near eight-year high. The dollar index was last up 0.30 percent, and the dollar was flat against the yen at 123.44 after trading higher in Asia.
Comments
Comments are closed.