FOREX-Euro briefly dips vs dollar on US consumer data

NEW YORK, Dec 28 (BestGrowthStock) – The euro briefly dipped into
negative territory against the dollar on Tuesday after a
weaker-than-expected report on U.S. consumer confidence stoked
risk aversion.

The euro had climbed as high as $1.3274 overnight but had
given up those gains ahead of the U.S. consumer report. It
briefly hit a session low of $1.3136 after its release before
rebounding to $1.3155 (EUR=: ), little changed from late Monday.

Traders tied the choppy moves to year-end position squaring
and low trading volume, which tends to exacerbate price moves.

But some also chalked it up to investors’ reluctance to
take on too much risk.

“As much as investors want to deny it, there are still
lingering concerns about the impact of Europe’s debt crisis,
about a sluggish U.S. recovery and about Chinese rate hikes,”
said GFT Forex strategist Kathy Lien. “Those lingering concerns
are affecting the market.”

For more on the data, see [ID:nOSL015634]

(Reporting by Steven C. Johnson; Editing by Chizu

FOREX-Euro briefly dips vs dollar on US consumer data