The greenback hit session lows against the euro and the yen on
Tuesday after data indicated U.S. factory orders fell for the sixth
straight month in April.
USD/JPY fell 0.51% to 124.15 after the data.
EUR/USD surged 1.87% to trade at 1.1132.
The U.S. Commerce Department said factory orders declined 0.4% in April, confounding expectations for a 0.2% increase. March’s figure was revised to 2.2% from a previously reported 2.1%.
Factory orders dropped 6.4%, the sixth straight monthly decline on a year-over-year basis.
Economists surveyed by MarketWatch had expected orders to dip 0.1% after a slightly revised 2.2% increase in the prior month. Orders for durable goods - products meant to last at least three years - fell 1% in April. Orders for nondurable goods rose 0.2%.
The soft data spurred renewed fears over the outlook for second quarter growth after data last month showed that the U.S. economy contracted 0.2% in the first quarter.
