Early trade in New York: Dollar falls as US earning season kicks off

NEW YORK: The US dollar edged lower on Monday as investors looked to domestic corporate earnings and upcoming retail data to gauge whether guarded optimism on the country's economic outlook is justified.

The index that measures the dollar against a basket of six other major currencies - which often serves as a safe-haven for investors seeking high-quality assets in moments of market volatility - was down 0.31% in North American morning trade. The dollar ended its third week of losses on Friday as investors bought into risk-sensitive currencies on bets that the worst of the pandemic's sweeping impact was over.

The euro rose 0.63% to $1.137, maintaining its uptrend since late last month and was on track for its best day since June 22.

Looming large for the single currency this week is a European Union summit on July 17-18, at which leaders need to bridge gaps on a long-term budget. Investors will also watch for whether an agreement on a proposed 750 billion-euro recovery fund for the bloc emerges.