On Tuesday the greenback edged lower vs rivals, as investors locked in profit-taking from the dollar's recent rally caused by a series of recent positive data and mounting expectations for a U.S. rate hike later in the year.
USD/JPY
was at fresh 12-year highs though below the psychological level of 125, sticking to 124.67
The yen showed little reaction after Bank of Japan Governor Haruhiko
Kuroda comments that currencies should mirror economic fundamentals.
EUR/USD jumped 0.93% to 1.1027 as Greek Prime Minister Alexis Tsipras said he sent a "realistic reforms plan" to the creditors urging them to agree on it. The move was directed to unlocking urgently needed bailout installment, as the deadline was looming on Friday when Greece is due to repay 300 million euros ($328 million) to the IMF.
Earlier, data showed that euro zone consumer prices rose for the first time in six months in May, the news gave the euro additional boost.
Eurostat, the European Union’s statistics agency, said the euro zone consumer price index rose by 0.3% from a year earlier in May, following a flat reading in April while economists had forecast an increase of 0.2%.
Underlying inflation, which excludes prices for energy, food and alcohol, also expanded. Annual core inflation rose 0.9% from a record low of 0.6% in April.
Elsewhere, the pound sterling rose against the dollar, with GBP/USD climbing 0.14% to 1.5221, while USD/CHF declined 0.53% to 0.9100.
Earlier, market research firm Markit and the
Chartered Institute of Purchasing & Supply said that their U.K.
construction purchasing managers' index rose to 55.9 in May from a
reading of 54.2 in April, while analysts had expected the index to improve
to 55.0 in May. The news gave sterling support.
Aussie and kiwi were also higher, with AUD/USD up 1.12% to 0.76890 and with NZD/USD rising to 0.7119.
Earlier Tuesday, the Reserve Bank of Australia stood pat on its monetary policy leaving its a record-low at 2.00% in a widely expected move, noting, however, that monetary policy will remain "accomodative" and leaving the door open for further rate cuts.
