Dollar flat as house prices climb but sentiment slips
City Index January 30, 2013 2:15 PM
<p>The dollar is flat in forex trading as positive housing data is counterbalanced by a decline in confidence.</p>
The dollar is flat in forex markets this morning (January 30th) after two reports delivered mixed messages about the state of the world's largest economy.
On the closely-monitored Case-Shiller index, property prices in the US climbed by 5.5 per cent in November compared to a year ago, which is the fastest rise since the sector crashed in 2006.
But this good news was counterbalanced by fresh Conference Board Consumer Confidence data, which showed its sentiment index fell from 66.7 in December to 58.6 in January – the sharpest decline since August 2011.
This low reading fell short of analysts' expectations of 64 and is believed to have been brought about both by the increase in income and payroll taxes and the ongoing uncertainty surrounding the budget deficit.
At 08:40 GMT today, the dollar was stable against both the euro and sterling, making marginal gains to £0.634 and slipping very slightly to €0.740.
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