The pound appreciated for a seventh day versus the euro, extending the longest run of gains since September, as signs U.K. growth is accelerating pushed the currency to its strongest level in 19 months.
The dollar fell for a second day against a basket of currencies as a report showed retail sales in May rose less than forecast, a sign consumer purchases remained sluggish after the economy contracted in the first quarter.
Morgan Stanley reduced its iron ore price estimate for this year and predicted a further drop in 2015 as the seaborne surplus grew faster than expected and the level of cost support at Chinese producers declined. The rate slumped to the lowest since September 2012 today.
New Zealand’s central bank raised interest rates for the third time this year and signaled more tightening to come as the Christchurch rebuild and surging immigration fuel growth, sending the kiwi higher.
Asian index futures fell after U.S. stocks dropped by the most in three weeks, while wheat futures entered a bear market. New Zealand’s dollar jumped to a three- week high after its central bank raised interest rates.
The yen rose to a four-month high versus the euro on speculation the Bank of Japan will refrain from expanding stimulus at a meeting beginning tomorrow, diverging from the European Central Bank that added easing last week.