The dollar ended the longest streak of losses since April after sales of U.S. homes rose by the most in 22 years, adding to signs of recovery from a harsh winter.
Price swings in the U.S. currency versus the yen, as measured by options, fell to a record low before a report this week forecast to show the economy contracted more than earlier estimated. The pound weakened after Bank of England Governor Mark Carney damped speculation of a rate rise. Russia’s ruble rallied to the strongest level since January.
“We did see a stronger dollar this morning, especially in the wake of the positive consumer-confidence and housing data,” said Omer Esiner, chief market analyst in Washington D.C. at Commonwealth Foreign Exchange Inc., a currency brokerage. “We’ve kind of traded sideways a little bit. It’s largely technical, but there’s some geopolitical headlines that may be weighing on risk appetite.”