The US dollar did nothing but consolidate last week’s losses on Monday, as the markets remained quiet on the Memorial Day holiday in the US. However, volatility could return in a big way on Tuesday as a spate of US economic releases are likely to signal one thing: conditions remain awful. Indeed, at 9:00 EDT, the S&P/Case-Schiller index of home prices is likely to fall sharply for the fifth consecutive quarter in Q1. Later in the morning at 10:00 EDT, new home sales are expected to fall 0.6 percent to 523K while the Conference Board’s consumer confidence index is forecasted to fall to a nearly 15-year low of 60.0 from 62.3, which won’t be entirely surprising as rocketing food and energy prices combined with the collapse of the US housing sector and tightening credit conditions have sparked widespread pessimism throughout the financial markets. Furthermore, the labor markets have started to deteriorate as evidenced by the slow gains in the unemployment rate in recent months, and things are only expected to get worse.