The US dollar had a largely positive day yesterday, rising in most key areas, with sterling an exception. After the bank holiday Monday, US activity was still limited, with little for the currency to go on. With nothing local to impact markets, the speculation over quantitative easing in Europe had the knock-on effect of strengthening the dollar, especially against the multi-nation currency.
A stronger sterling day, however, saw the dollar lose out slightly in this market. Today holds just the one piece of significant US data, which comes in the shape of the building permits. With investors looking for support from all areas to back up calls for an earlier interest rate rise, positive results in this area could aid the dollars advances. Otherwise the wider worldwide events will be the major influences over the markets.