30 December 2003, 12:03  Dollar remains weak in Europe, eyes on US data

LONDON, Dec 30 - The dollar held a touch above the previous day's record low against the euro in European trade on Tuesday with little news available to change the broadly bearish sentiment for the U.S. currency. Markets were looking forward to a series of economic data due for release later in the day, including latest Japanese official intervention figures, U.S. consumer confidence, existing home sales and numbers on U.S. Midwest manufacturing. But worries over structural problems in the U.S. economy, meaning the current account deficit, and global security issues remained the main theme that kept the dollar underwater. At 0750 GMT, the dollar was at $1.2494 per euro , slightly down on the day but up from Monday's record low around $1.2511.
It was also near a recent seven-year low against the Swiss franc and a three-year low versus the yen . However, the dollar was seen somewhat supported by the threat of official intervention from Japan to limit the yen's gains. The Bank of Japan was suspected to have bought dollars for yen on Monday when the greenback fell to 106.90 yen. Euro zone money supply data was due for release at 0900 GMT. The December National Association of Purchasing Management-Chicago business barometer was due at 1500 GMT and expected to fall to 62.2 from 64.10 in November. Also at 1500 GMT, the Conference Board's index of consumer confidence was seen falling to 91.5 for December from the previous month's 91.70. For full report on major currencies click on [FRX/] For previous updates on currency moves click on [USD/-M]//

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