Dollar dips amid mixed economic data

AP News
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Posted: Aug 29, 2011 4:04 PM
Dollar dips amid mixed economic data

The dollar fell against the euro in light trading Monday amid mixed economic messages,

The Commerce Department said consumer spending grew by 0.8 percent in July, while incomes increased 0.3 percent, helping ease fears of another recession. However, the National Association of Realtors said the number of people who signed contracts to buy homes fell 1.3 percent in July, a sign that the U.S. housing market remains weak.

In late trading, the euro rose to $1.4505 from $1.4484 Friday. The euro rose to $1.4546 earlier in the day, its highest level since July 5. The British pound rose to $1.6405 from $1.6335.

Currency trading was light Monday with many investors in the U.S. on vacation the week before the Labor Day holiday weekend or delayed by transportation disruptions in New York. Mass transit was resuming operation after having been shut down in advance of Tropical Storm Irene's arrival Sunday. In the United Kingdom, markets were closed Monday for a bank holiday.

In other trading Monday, the dollar rose to 76.95 Japanese yen from 76.66 Japanese yen and to 0.8153 Swiss franc from 0.8078 Swiss franc. But the dollar fell to 97.84 Canadian cents from 98.51 Canadian cents.