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US Dollar Lower on Mixed Data

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US Dollar Lower on Mixed Data

The US dollar had little momentum Tuesday, as mixed economic data kept the forex markets speculating about the pace of US recovery.

The US dollar fell 0.1 percent against a basket of currencies. The US dollar index landed at 80.06 at 17:00 GMT. The index was stronger in the early part of the North American session, when US house prices were shown to have risen faster than forecast in December.

US house prices rose 0.8 percent in December, official data from the Federal Housing Finance Agency showed today. December capped off the tenth consecutive quarter of rising home prices, a sign the US housing sector continues to gain momentum.

“Home price appreciation in the fourth quarter was considerable, but more modest than in recent periods,” said FHFA principal economist Andrew Leventis. “It is too early to know whether the lower quarterly growth rate represents the beginning of more normalized price appreciation patterns or a more significant slowdown.”

A separate gauge of home prices, courtesy of Standard & Poor’s, showed home prices rose at an annualized rate of 13.4 percent in December, exceeding forecasts. The S&P/Case-Shiller Home Price Indices measure the residential real estate value of 20 regions across the United States.

The US dollar was unable to translate housing data into meaningful gains after the Conference Board said consumer confidence declined moderately in February.

The greenback was lower versus the British pound, euro and Japanese yen, but rebounded sharply versus the Canadian dollar. Below is a rundown of some of the major peers as of 17:00 GMT:

GBP/USD: 1.6697 (+0.2 percent)
EUR/USD: 1.3748 (+0.1 percent)
USD/JPY: 102.20 (-0.3 percent)
USD/CAD: 1.1085 (+0.2 percent)

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