Dollar Loses Ground As Weak Economic Data Weigh

(RTTNews) - The U.S. dollar lost ground against its major counterparts on Tuesday, weighed down by data showing a drop in U.S. job openings in the month of July, and a decline in consumer confidence.

The latest batch of data has helped ease concerns about the outlook for interest rates.

According to a report released by the Conference Board, consumer confidence in the U.S. deteriorated by much more than anticipated in the month of August. The report said the consumer confidence index tumbled to 106.1 in August from a downwardly revised 114.0 in July.

Economists had expected the consumer confidence index to edge down to 116.5 from the 117.0 originally reported for the previous month.

A separate report released by the Labor Department showed job openings in the U.S. decreased to 8.8 million on the last business day of July.

"From the Fed's perspective, the week is off to a promising start with the JOLTS job opening report much softer than expected, alongside downward revisions to the previous month," said Craig Erlam, senior market analyst at OANDA.

"The Fed needs to see a softer labor market to be confident that price pressures aren't just abating but substantially and sustainably and this report is a move in the right direction," Erlam added.

The dollar index dropped to 103.37, losing nearly 0.7%.

Against the Euro, the dollar is trading at 1.0885, easing from 1.0822. Against Pound Sterling, the dollar is at 1.2647, down from 1.2602.

The Japanese currency is trading at 145.78 yen a dollar, firming from Monday's close of 146.54 yen, after having weakened to 147.36 earlier in the day.

The dollar is down at 0.6482 against the Aussie. Against Swiss franc, the dollar has weakened, fetching CHF 0.8780 a unit, down from CHF 0.8837 a unit.

The dollar is down against the Loonie at C$1.3557, dropping from C$1.3602.