USD broadly higher after consumer confidence and home sales data

Tuesday, May 26 2015

CB Consumer Confidence which had declined in April, increased moderately in May. The Index now stands at 95.4, up from 94.3 in April. Analysts were anticipating incline to 95.3. The Present Situation Index increased from 105.1 last month to 108.1 in May. The Expectations Index edged down to 86.9 from 87.1 in April.

“Consumer confidence improved modestly in May, after declining sharply in April,” said Lynn Franco, Director of Economic Indicators at The Conference Board. “After a three-month slide, the Present Situation Index increased, propelled by a more positive assessment of the labor market. Expectations, however, were relatively flat following a steep decline in April. While current conditions in the second quarter appear to be improving, consumers still remain cautious about the short-term outlook.”

Separate report on New Home Sales showed that sales of new single-family houses in April 2015 were at a seasonally adjusted annual rate of 517,000, well above expectations on a rate of 501,000. This is 6.8% above the revised March rate of 484,000 and is 26.1% above the April 2014 estimate of 410,000. The median sales price of new houses sold in April 2015 was $297,300; the average sales price was $341,500. The seasonally adjusted estimate of new houses for sale at the end of April was 205,000. This represents a supply of 4.8 months at the current sales rate.

After the data USD strengthen against its major rivals. Euro is currently being traded few points above 1.09 handle, Sterling is around 1.5370 area, while Aussie is below 0.7750 level.

More in this category: « Durable Goods Orders decreased by 0.5% Construction Work Done fell more than expected »