07:43 AM EDT, 09/17/2024 (MT Newswires) -- The US dollar rose against its major trading partners early Tuesday, except for a small decline versus the euro, ahead of a busy schedule of economic data releases, starting with retail sales for August and the New York Federal Reserve's services reading for September, both at 8:30 am ET.

Weekly Redbook same-store sales follow at 8:55 am ET and the Fed's industrial production report for August is due at 9:15 am ET. Business inventories data for July and the National Association of Home Builders' confidence index for September are both due at 10:00 am ET.

Finally, the Atlanta Fed's gross domestic product Nowcast estimate is expected to be updated around midday.

The CME FedWatch tool current shows a 65% chance of a 50 basis point rate reduction being priced in for Wednesday's Federal Open Market Committee meeting announcement from the current target range of 5.25% to 5.50%, and a 35% chance of a smaller 25 basis point rate reduction.

Federal Reserve officials remain in their 'quiet period' until after the conclusion of the two-day FOMC policy setting meeting.

A quick summary of foreign exchange activity heading into Tuesday:

EUR/USD rose to 1.1134 from 1.1130 at the Monday US close and 1.1122 at the same time Monday morning. Eurozone economic sentiment declined in September according to data released earlier Tuesday. European Central Bank policy board member Frank Elderson is scheduled to speak at 9:00 am ET. The next ECB meeting is scheduled for Oct. 17.

GBP/USD fell to 1.3210 from 1.3214 at the Monday US close but was still above a 1.3195 level at the same time Monday morning. There are no UK data on Tuesday's schedule. The next Bank of England meeting is scheduled for Thursday, when no change in interest rates is expected.

USD/JPY rose to 140.7110 from 140.7084 at the Monday US close and 140.0841 at the same time Monday morning. Japanese business purchases of services rebounded more than expected in July after a June decline, data released overnight showed. The next Bank of Japan meeting is scheduled for Thursday and Friday, with the policy announcement scheduled for release late Thursday evening in US time. No change in interest rates is expected.

USD/CAD rose to 1.3595 from 1.3585 at the Monday US close and 1.3577 at the same time Monday morning. Canadian housing starts for August are due to be released at 8:15 am ET, followed by Canadian consumer prices for August at 8:30 am ET. Bank of Canada Senior Deputy Governor Carolyn Rogers is scheduled to speak at 6:00 pm ET. The next Bank of Canada meeting is scheduled for Oct. 23.