(RTTNews) - The dollar was on the rise Tuesday morning in New York ahead of a pair of reports on the housing sector.
Recent data has suggested the housing market may be stabilizing following the worst downturn in decades. However, it is feared that a turnaround in the housing market will be unsustainable without government support and tax credits.
The National Association of Realtors is scheduled to release its report on existing home sales for February at 10 AM ET. Economists estimate existing home sales of 5 million for the month.
The Federal House Finance Agency is set to release its house price index for January at 10 AM ET.
The dollar rose to 1.3495 versus the euro, moving closer to a 9-month high of 1.3434 set earlier in March.
European consumer confidence was more or less unchanged in March, a flash estimate from the European Commission showed.
"March's eurozone consumer confidence figures confirm that consumer sentiment remains weak by historical standards and that a household spending recovery some way off," said Ben May, European economist at Capital Economics. "With wage growth slowing and tighter fiscal policy on the way, prospects do not look much better for the remainder of the year," he added.
Meanwhile, the buck improved to 1.4975 versus the sterling, coming within 2 cents of a 9-month high set three weeks ago.
U.K. annual inflation slowed to 3% in February from 3.5% in January, the Office for National Statistics said Tuesday. Annual inflation stood slightly below the expected rate of 3.1%, but above the central bank's 2% target.
The dollar rebounded above Y90 versus its Japanese counterpart, extending its long run of choppy trading.
Several board members of the Bank of Japan felt that the risks to the Japanese economy are starting to find balance, minutes from the bank's February 17-18 policy meeting showed on Tuesday.
The minutes also showed that the board believes that the effects of monetary policy are strengthening, but the bank must continue to act swiftly and decisively to support the economy.
The buck was two cents above parity versus its Canadian counterpart this morning, having tested that mark in recent days.
Treasury Secretary Timothy Geithner is scheduled testify before the House Financial Services Committee regarding the future of housing finance.
San Francisco Federal Reserve Bank President Janet Yellen may also garner attention, as she is set to offer her latest remarks on the economic outlook and central bank independence.
