Forex - EUR/USD dips on improving U.S. wholesale pricing data

The dollar rose against the euro on Friday after wholesale pricing data beat expectations and painted a picture of a U.S. economy that continues to expand, though disappointing consumer sentiment numbers dampened the greenback's advance.

In U.S. trading on Friday, EUR/USD was down 0.22% at 1.3345, up from a session low of 1.3296 and off from a high of 1.3375.

The pair was likely to find support at 1.3177, Monday's low, and resistance at 1.3375, the earlier high.

The U.S. Bureau of Labor Statistics reported earlier that the U.S. producer price index rose 0.5% in May, beating expectations for a 0.1% rise after a 0.7% decline the previous month. 

The core producer price index, which is stripped of the more volatile food and energy costs, rose 0.1% last month, in line with expectations, after a 0.1% gain in April. 

However, the Federal Reserve reported earlier industrial production in the U.S. came in flat in May, missing expectations for a 0.2% rise though up from a 0.4% contraction the previous month.

Weaker-than-expected consumer sentiment data capped the dollar's gains.

Thomson Reuters/University of Michigan's preliminary consumer sentiment index fell to 82.7 in June from 84.5 in May.

Analysts were expected the reading to remain unchanged at 84.5.

In the eurozone, official data revealed that the consumer price index remained unchanged in May at an annualized rate of 1.4%, in line with expectations. 

Core consumer price inflation in the single currency bloc, which is stripped of food, energy, alcohol and tobacco items, rose to an annualized rate of 1.2% last month from 1% the previous month, in line with expectations.

The euro, meanwhile, was down against the pound and down against the yen, with EUR/GBP trading down 0.05% at 0.8504, and EUR/JPYtrading down 0.96% at 126.34.

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