The U.S. dollar traded higher against the most major currencies after the better-than-expected U.S. housing market data. Housing starts in the U.S. jumped 15.7% to 1.093 million units in July from 945,000 units in June. That was the strongest rate since November. June's figure was revised up from 893,000 units. Analysts had expected a rise to 970,000 units.

The number of building permits rose by 8.1% to 1.052 million units in July from 973,000 in June. June's figure was revised up from 963,000 units. Analysts had expected 1.0 million units.

The U.S. consumer price index increased 0.1% in July, in line with expectations, after a 0.3% rise in June.

On a yearly basis, consumer prices in the U.S. rose 2.0% in July, after a 2.1% gain in June.

Consumer prices, excluding food and energy, climbed 0.1% in July, missing expectations for a 0.2% increase, after a 0.1% rise in June.

On a yearly basis, consumer prices, excluding food and energy, increased 1.9% in July, after a 1.9% rise in June.

The euro fell against the U.S. the better-than-expected U.S. housing market data.

Eurozone's current account surplus dropped to 13.1 billion euros in June from a surplus of 19.8 billion euros in May, missing expectations for an increase to 21.3 billion euros. May's figure was revised up from a surplus of 19.5 billion euros.

The British pound declined against the U.S. dollar after the weaker-than-expected economic data from the UK and the better-than-expected U.S. housing market data.

Consumer price index in the UK decreased 0.3% in July, a 0.2% rise in June.

On a yearly basis, consumer price inflation the UK rose 1.6% in July, missing expectations for a 1.8% gain, after a 1.9% increase in June.

CPI, excluding food, energy, alcohol, and tobacco costs, jumped 1.8% in July, missing expectations for a 1.9% rise, after a 2.0% gain in June.

Producer price index input in the UK fell 1.6% in July, missing forecasts of a 0.8% decline, after a 0.9% decrease in June. June's figure was revised down from a 0.8% drop.

Producer price index output in the UK decreased 0.1% in July, missing forecasts of a 0.1% increase, after a 0.1% fall in June. June's figure was revised up from a 0.2% decline.

The New Zealand dollar traded mixed against the U.S dollar. In the overnight trading session, the New Zealand dollar dropped against the U.S dollar after the weaker-than-expected economic data from New Zealand. Producer price index input in New Zealand fell by 1.0% in the second quarter, missing expectations for a 0.7% rise, after a 1.0% gain in the first quarter.

Producer price index output in New Zealand declined by 0.5% in the second quarter, missing expectations for a 0.8% increase, after a 0.9% rise in the first quarter.

New Zealand's annual inflation expectations for the next two years decreased to 2.2% in the second quarter from 2.4% in the first quarter.

Growth forecast cut by New Zealand's government also weighed on the kiwi. The government lowered growth forecast in the year to next March to 3.8% from 4% earlier.

The Australian dollar declined against the U.S. dollar after the better-than-expected U.S. housing market data.

The Reserve Bank of Australia released its policy meeting minutes. The RBA said that its interest rate will remain on hold for some time. There were no comments on the currency.

The Japanese yen traded lower against the U.S. dollar the better-than-expected U.S. housing market data. No major economic reports were released in Japan.