The dollar is gaining ground against its major rivals Tuesday afternoon. Traders are looking forward to the release of a large number of U.S. economic reports tomorrow morning, ahead of Thursday's Thanksgiving Day holiday.

Durable goods orders, weekly jobless claims, consumer sentiment, existing home sales and the leading economic index are all slated to be released Wednesday morning.

Housing starts in the U.S. rebounded in the month of October, according to a report released by the Commerce Department on Tuesday, although the report also showed a decrease in building permits. The Commerce Department said housing starts jumped by 1.5 percent to an annual rate of 1.228 million in October after plunging by 5.5 percent to a revised rate of 1.210 million in September.

Economists had expected housing starts to climb to a rate of 1.225 million from the 1.201 million originally reported for the previous month.

Meanwhile, the report said building permits fell by 0.6 percent to an annual rate of 1.263 million in October after surging up by 1.7 percent to an upwardly revised 1.270 million in September. Building permits, an indicator of future housing demand, had been expected to increase to 1.267 million from the 1.241 million originally reported for the previous month.

The dollar slid to an early low of $1.1472 against the Euro Tuesday, but has since climbed to around $1.1365.

Germany's industrial producer prices rose at the fastest pace in 18 months during October, figures from the Federal Statistical Office showed on Tuesday. Producer prices rose 3.3 percent year-on-year following a 3.2 percent increase in September. The increase matched economists' expectations.

France's jobless rate was unchanged in the third quarter from the previous three months, preliminary data from INSEE showed on Tuesday.

The ILO unemployment rate for the metropolitan France was 8.8 percent, unchanged from the second quarter, but was 0.5 points lower than a year ago. The number of unemployed rose by 22,000 sequentially to 2.6 million persons.

Bank of England Governor Mark Carney welcomed the draft Brexit deal and the transition arrangement that the British Prime Minister Theresa May struck with the European Union last week, but warned that the risks of a "no-deal, no-transition" scenario remained very high.

Speaking at a Treasury Select Committee hearing on Tuesday, Carney said, "We welcome the transition arrangements in the withdrawal agreement."

"We also take note of the possibility of extending that transition period," he added.

The draft Brexit withdrawal deal sees the UK leaving the European Union on March 29, 2019 and the transition period will begin from that day to last until December 31, 2020.

The deal allows for extension of transition beyond 2020 which, according to Carney, was essential as trade deals take an average four years to negotiate.

The buck dipped to a low of $1.2883 against the pound sterling Tuesday morning, but has since risen to around $1.2785.

The greenback fell to a low of Y112.304 against the Japanese Yen Tuesday, but has since rebounded to around Y112.785.

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