After reporting a substantial rebound by U.S. consumer sentiment in the previous month, the University of Michigan released a report on Friday showing a more modest improvement by consumer sentiment in the month of July. The University of Michigan said its consumer sentiment index climbed to 61.8 in July after surging to 60.7 in June. Economists had expected the index to rise to 61.5.

New residential construction in the U.S. rebounded by more than expected in the month of June, according to a report released by the Commerce Department on Friday. The Commerce Department said housing starts surged by 4.6 percent to an annual rate of 1.321 million in June after plunging by 9.7 percent to a revised rate of 1.263 million in May.

The European currencies strengthened against other major currencies in the European session on Friday after European stock markets traded higher, as robust U.S. economic data and encouraging tech earnings helped ease tariff-related concerns for now.

Malaysia's economic growth improved in the second quarter driven by strong domestic demand amid global trade distortions, advance estimates from the Department of Statistics showed on Friday. Gross domestic product expanded 4.5 percent year-on-year in the second quarter, slightly faster than the 4.4 percent growth seen in the first quarter.

The Japanese yen weakened against other major currencies in the Asian session on Friday, as traders remain uncertain about Japan's upper house election and consider the fiscal implications of this weekend's vote. Meanwhile, the country's 40-year government bond yield experienced a notable decline.

The antipodean currencies such as the Australia and the New Zealand dollars strengthened against their major counterparts in the Asian session on Friday amid increased risk-on mood, as traders reacted to upbeat economic data from the U.S. and Japan that renewed optimism about the global economy. Countries are also hustling to strike trade deals with the U.S. as the August 1 deadline for pausing of "reciprocal tariffs" is less than a fortnight away.

Business inventories in the U.S. remained unchanged for the second consecutive month in May, according to a report released by the Commerce Department on Thursday. The Commerce Department said business inventories were virtually unchanged in May after also coming in flat in April. The unchanged reading matched economist estimates.

A report released by the National Association of Home Builders on Thursday showed a modest improvement in homebuilder confidence in the U.S. in the month of July. The report said the NAHB/ Wells Fargo Housing Market Index inched up to 33 in July after slipping to 32 in June. The uptick matched economist estimates.

The Federal Reserve Bank of Philadelphia released a report on Thursday showing manufacturing activity in the region unexpectedly expanded overall in the month of July. The Philly Fed said its diffusion index for current general activity surged to a positive 15.9 in July from a negative 4.0 in June, with a positive reading indicating growth.

Import prices in the U.S. inched up by less than expected in the month of June, the Labor Department revealed in a report released on Thursday. The Labor Department said import prices crept up by 0.1 percent in June after falling by a revised 0.4 percent in May.

Retail sales in the U.S. rebounded by much more than expected in the month of June, according to a report released by the Commerce Department on Thursday. The Commerce Department said retail sales climbed by 0.6 percent in June after slumping by 0.9 percent in May. Economists had expected retail sales to inch up by 0.1 percent.

A report released by the Labor Department on Thursday unexpectedly showed a modest decrease by first-time claims for U.S. unemployment benefits in the week ended July 12th. The Labor Department said initial jobless claims fell to 221,000, a decrease of 7,000 from the previous week's revised level of 228,000. Economists had expected jobless claims to rise to 235,000.

The U.K. jobless rate rose unexpectedly to a near four-year high and wage growth softened in the three months to May, suggesting that the labor market is cooling. Data from the Office for National Statistics showed that the unemployment rate edged up to 4.7 percent in the three months to May, marking the highest rate since June 2021. The rate was forecast to remain unchanged at 4.6 percent.

Unemployment from the UK and final inflation from the euro area are the top economic news due on Thursday. At 2.00 am ET, the Office for National Statistics releases UK unemployment data. The jobless rate is forecast to remain unchanged at 4.6 percent in May.

Partly reflecting a surge by utilities output, the Federal Reserve released a report on Wednesday showing industrial production in the U.S. increased by more than expected in the month of June. The Fed said industrial production climbed by 0.3 percent in June, while revised data showed industrial production was unchanged in May.

A report released by the Labor Department on Wednesday showed producer prices in the U.S. unexpectedly came in flat in the month of June. The Labor Department said its producer price index for final demand was unchanged in June after rising by an upwardly revised 0.3 percent in May.

Indonesia's central bank reduced its benchmark interest rate for the third time this year on Wednesday, to support economic growth amid slowing inflation and continued stability in the rupiah exchange rate. The Bank Indonesia board, led by Governor Perry Warjiyo, decided to reduce the BI rate by 25 basis points to 5.25 percent.

The British pound strengthened against other major currencies in the early European session on Wednesday, after U.K. consumer price inflation accelerated unexpectedly in June to the highest since January 2024 largely due to higher transport and food costs but the Bank of England is expected to loosen its policy further, given mounting concerns over economic conditions.

UK consumer price inflation accelerated unexpectedly in June to the strongest level since January 2024 largely due to higher transport and food costs but the Bank of England is expected to loosen its policy further, given mounting concerns over economic conditions. The consumer price index advanced 3.6 percent year-on-year in June, faster than the 3.4 percent rise in May.

The Japanese yen weakened against other major currencies in the Asian session on Wednesday, as traders speculate that the Bank of Japan (BoJ) will not raise interest rates this year due to worries about the economic effects of rising U.S. tariffs.

Consumer prices from the UK and foreign trade from the euro area are due on Wednesday, headlining a light day for the European economic news. At 2.00 am ET, the Office for National Statistics releases UK consumer prices for June. Inflation is forecast to remain unchanged at 3.4 percent.

New York manufacturing activity has seen a notable turnaround in the month of July, according to a report released by the Federal Reserve Bank of New York on Tuesday. The New York Fed said its general business conditions index surged to a positive 5.5 in July from a negative 16.0 in June, with a positive reading indicating growth. Economists had expected the index to rise to a negative 10.0.

The Labor Department released a report on Tuesday showing consumer prices in the U.S. increased in line with economist estimates in the month of June. The report said the consumer price index rose by 0.3 percent in June after inching up by 0.1 percent in May.

The Japanese yen weakened against other major currencies in the European session on Tuesday, as European stocks traded higher despite lingering concerns about U.S. President Donald Trump's tariff plans and aggressive negotiation tactics.

German economic sentiment improved more than expected in July on hopes of a quick resolution to the US-EU tariff dispute and potential stimulus from the federal government, a monthly survey conducted by the think tank ZEW showed on Tuesday.