Euro finishes up against the US dollar

The euro strengthened against the US dollar yesterday by 1.19 cents (0.86%), closing the day at $1.3943.

• In early trading yesterday the euro strengthened against the greenback, as investors bought back into the riskier single currency following recent falls.
  
• Appetite for the riskier euro was also bolstered after the release of better-than-expected Core Durable Goods data in the US. It came in at 0.8%, a considerable improvement on the -2.7% registered last month, and way ahead of the -0.4% expected. Elsewhere, US Unemployment Claims figures also improved global risk sentiment after it came in at 623k for May, well ahead of the 628k forecasted, and the 636k reading the previous month.
  
• However, weaker-than-forecast US New Home Sales data capped the euro’s gains to some extent after it came in at 352k this month, well below the 363k expected, but slightly up on the 351k recorded in April.
  
• In trading so far today the euro has risen back above the psychological $1.40 level, as appetite for safe-haven currencies like the greenback continues to subside.
  
• There are no major announcements due in the eurozone today, whilst at 13.30 BST in the US Preliminary GDP (QoQ) figures are out.