By Deborah Levine
EURUSD DXY 10_YEAR
NEW YORK (MarketWatch) -- The dollar pared its advance and Treasury prices held onto gains on Tuesday after a report showed U.S. housing starts slowed in July. The euro EURUSD -0.38% traded at $1.4387, from $1.4366 before the data, but up compared with $1.4453 in late North American trading on Monday. The dollar index DXY +0.31% , which tracks the performance of the greenback against a basket of other major currencies, stayed higher, at 74.049 from 73.836. Yields on 10-year notes 10_YEAR -1.98% , which move inversely to prices, fell 4 basis points to 2.28%. Bonds and the dollar were up before the data after weak economic growth data for Germany and ahead of a meeting between French and Germany's leaders to discuss the euro zone's debt crisis. "With North American data releases largely second tier, markets will be looking to today's Franco-German summit for direction and the balance of risks favors disappointment, reinforcing the negative tone for risk and the euro," said Adam Cole, global head of foreign exchange strategy at RBC Capital Markets.
