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Dollar Mostly Steady Against Major Rivals

The U.S. dollar was fairly steady against most major currencies on Tuesday, with traders reacting to a mixed batch of economic data from the U.S. and Europe and reports that several ECB members felt economic projections for Eurozone growth were too optimistic.

The dollar index rose to 97.09 gaining nearly 0.15%.

Against the euro, the dollar strengthened to 1.1281, gaining about 0.2%, recovering from a low of 1.1316, while against Pound Sterling, it rose to 1.3043, from a low of 1.3112.

According to a report from Reuters, several ECB members feel the central bank's economic projections for the eurozone are way too optimistic.

Meanwhile, on the Brexit front, reports indicate British Prime Minister Theresa May is under pressure to rapidly come out with an alternative Brexit plan ahead of parliamentary elections in Europe, scheduled for May 22.

According to a report in Guardian, talks between May and the opposition Labour Party leader regarding Brexit had stalled. The Labour Party, however, has denied the report.

The Chinese yuan was quoting at 6.7122 a dollar, down 0.05% from previous close.

In economic news from China, housing prices in 70 major Chinese cities increased an average 10.6% year-on-year in March. Data on Chinese GDP is due tomorrow.

Against the Japanese yen, the dollar fetched 112.02 yen, recovering from 111.85.

In U.S. economic news, the Federal Reserve's report showed U.S. industrial production unexpectedly edged lower in the month of March.

The report said industrial production dipped by 0.1% in March after inching up by 0.1% in February. Economists had expected production to rise by 0.2%.

The unexpected decrease in production came as mining output slid by 0.8% in March after coming in unchanged in the previous month.

The Fed said manufacturing production was unchanged in March after declining in both January and February, while utilities output crept up by 0.2% after spiking by 3.7%.

Meanwhile, U.S. homebuilder confidence improved in the month of April, according to a report released by the National Association of Home Builders.

The report said the NAHB/Wells Fargo Housing Market Index inched up to 63 in April after holding at 62 in March, with the uptick matching expectations.

The greenback was down slightly against the Aussie and Loonie, but advanced against Swiss franc.

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