The dollar is currently trading mixed against its major competitors on Tuesday. The U.S. currency is down slightly against the Japanese Yen, near unchanged against the Euro and rising against the pound sterling. There has been little news to drive the direction of trading.
The International Monetary Fund on Monday hailed Greece for the "progress" made on fiscal adjustment, but warned that the country still has more work to do in tacking tax evasion.
"Progress on fiscal adjustment has been exceptional by any international comparison, with the primary balance set to have cumulatively improved by 10 percent of GDP by end-2013, amid a contraction in GDP of more than 20 percent," IMF said in the concluding statement of a regular review mission.
Greece has made a significant dent in its competitiveness gap and also managed to preserve financial sector stability, despite large losses associated with the debt restructuring, the Fund said in the report.
However, the lender noted that structural reforms remained insufficient, implying the adjustment has been achieved primarily through recessionary channels, with unequal distribution of the burden of adjustment.
European Union Economic and Monetary Affairs Commissioner Olli Rehn said in an interview that it's too early to know whether Slovenia will not need a financial bailout.
The dollar fell to a low of $1.3131 against the Euro Tuesday, but has since bounced back to nearly unchanged on the session, around the $1.3080 level.
Germany's manufacturing orders unexpectedly increased in March, supported by strong demand from the euro area, raising renewed hopes that the domestic economy is slowly emerging from the ongoing slump and revived the recovery prospects for the currency bloc.
New orders received by German manufacturers increased a seasonally adjusted 2.2 percent sequentially in March, as they did in the previous month, preliminary data from the Federal Ministry of Economics and Technology showed Tuesday. Economists had forecast orders to fall by 0.5 percent.
The German construction sector contracted at a slower pace in April, data from a survey by Markit Economics showed Tuesday. The seasonally adjusted purchasing managers' index for the construction sector advanced to 48.8 in April from the thirteen-month low of 41.9 seen in March, when activity was disrupted by the unusually bad weather.
France's industrial production decreased at a faster rate than expected by economists in March, latest data showed Tuesday. Industrial production decreased 2.5 percent on an annual basis in March, statistical office Insee said. The rate of fall was notably faster than 1.4 percent economists had forecast. In February, output had fallen by 2.9 percent.
The French trade deficit narrowed in March as exports increased amid a fall in imports, data from the French customs agency showed Tuesday. The trade deficit fell to EUR 4.69 billion from EUR 5.64 billion in February. The deficit was seen at EUR 5.5 billion.
The buck has broken out of a range around the $1.5530 level against the pound sterling on Tuesday, to over a one-week high of $1.5445.
Shop price inflation in the United Kingdom fell to a three-and-a-half year low in April. The British Retail Consortium reported Tuesday that its Shop Price Index fell to 0.4 percent from 1.4 percent in March.
The greenback dropped to around Y98.800 against the Japanese Yen early Tuesday and has continued to hover around that level.
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Forex News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.