The Dollar was little stronger against the US Dollar, following the US economic data. The EUR/USD currency pair declined 10 pips or 0.08% to decrease further, but managed to return to the 1.2380 area.
The US consumer spending strengthened in December amid higher demand for services and goods, though an increase came at the cost of savings, which fell to the lowest level in 10 years in a worrying sign for future economic growth and consumption. The report indicated that the PCE Price Index, the Federal Reserve’s preferred measure of inflation, increased 0.2% in December after a 0.1% gain. Meanwhile, consumer spending added 0.4% in the reported month from an upwardly revised 0.8% in November.
