The dollar dropped to one-week lows against the other major
currencies on Friday, after the release of mixed U.S. economic reports did
little to boost optimism over the strength of the economy and the Federal
Reserve’s decision to hold interest rates continued to weigh.
The U.S. Commerce Department said housing starts declined
0.3% to 1.164 million units last month from April’s total of 1.167 million
units, a downward revision from the initial 1.172 million.
The data came a day after reports showed that the
number of individuals filing for initial jobless benefits in the week
ending June 11 rose more-than-expected, while U.S. consumer prices rose
less than anticipated last month.
The U.S. dollar index, which measures the greenback’s
strength against a trade-weighted basket of six major currencies, was down
0.65% at 93.60, the lowest since June 10.
.
Dollar index has support 93.40 and resistance 95.30.
Three consecutive + weekly close below 93.40 will take it to 92.80--92.50 and then to 91.90 else could test its resistance level of 95.30.
Further upside rally can be seen if close above 95.30.
