Despite positive data over Germany - the index of business moods IFO, nevertheless the dollar continued its strengthening. Traders have vividly reacted to positive data on new home sales in the USA as the market of the real estate still remains the weakest point of the US economy.

IFO index confirmed positive tendencies in the largest economy of Europe, we remind that on the eve quite positive data on ZEW indexes were issued.

The index of moods in business circles IFO remained without changes at a level of 108,6 in May, economists expected that the index would be hardly below a historical top 108,7. The indicator of current conditions fell, though the indicator of expectations in business circles which show moods the nearest 6 months.

“Economic prospects remain favorable", - the President of Institute noted at the press release. Optimistical moods of business circles in the largest economy of Europe should strengthen expectations of that in June the European central bank will raise the key interest rate up to 4,0 % from a current level of 3,75 %.

However euro bulls could not develop its success - positive data on new home sales supported the dollar.

According to the US Department of Commerce new home sales grew in April by 16,2 percents up to 981 000 against 844 000 in March.