Dollar Rises Against Pound And Euro; Slips Versus Yen

Dollar Rises Against Pound And Euro; Slips Versus Yen

Monday, February 05, 2007 11:23:26 AM - The U.S. dollar rose against the euro and the pound Monday morning, while it fell against the yen. The movement came amid the release of U.S. non-manufacturing data.

The American dollar dipped against the euro during early morning trading in New York, briefly halting an advance that started last Friday morning. The greenback resumed its rally during the mid-morning, however, touching 1.2914. This was the dollar’s highest level against its European counterpart in a week.

The dollar rose against the British pound during early morning trading in New York. The greenback started to rally around 3:30 a.m. Eastern Time. The currency touched 1.9539 a little after 8:30 am Eastern Time, though it remained off a multi-week high set late last week.

The greenback declined against the yen for most of the morning’s trading. The slide began a little before 6 a.m. Eastern time and continued into the late morning. The dollar fell to 120.26. The dollar continues to move away from a multi-year high it set against its Japanese counterpart at the beginning of last week.

The Institute for Supply Management revealed that its index of national non-manufacturing activity rose to 59 in January compared to December’s reading of 56.7. Any reading above 50 indicates expansion in the sector, while a reading below 50 would point to contraction.