EUR/USD
EUR / USD NOW RESISTANT POINT
1.3051 TO 1.3020
The euro hit session high against the U.S. dollar on Wednesday, as expectations for more easing from the Federal Reserve pinned the dollar down.
EUR/USD hit 1.3053 during European afternoon trade, the pair’s highest since December 6; the pair subsequently consolidated at 1.3045, up 0.31%.
The pair was likely to find support at 1.2928, Tuesday’s low and resistance at 1.3085, the high of December 6.
The U.S. central bank was expected to announce new easing steps to replace its Operation Twist program, which expires this month following its policy setting meeting later Wednesday.
The euro remained supported after data on Tuesday showed that Germany’s ZEW economic sentiment index improved significantly more than expected in December.
Earlier Wednesday, official data showed that industrial production in the euro zone fell 1.4% in October, down for a second successive month.
Elsewhere, Italy saw borrowing costs fall to the lowest level since March at an auction of 12-month government bonds, despite lingering uncertainty over the country’s political outlook.
The euro was slightly higher against the pound, with EUR/GBP easing up 0.12% to 0.8079 and hit multi-month highs against the broadly weaker yen, with EUR/JPY advancing 0.75% to 108.11.
Sterling found support after official data showed that the number of people claiming unemployment benefits in the U.K. declined unexpectedly in November, while the number of people in employment rose to a record high.
Meanwhile, the yen remained under broad selling pressure amid expectations that a change of government after the upcoming elections will add to political pressure on the Bank of Japan to implement more aggressive monetary easing measures.
EUR/USD hit 1.3053 during European afternoon trade, the pair’s highest since December 6; the pair subsequently consolidated at 1.3045, up 0.31%.
The pair was likely to find support at 1.2928, Tuesday’s low and resistance at 1.3085, the high of December 6.
The U.S. central bank was expected to announce new easing steps to replace its Operation Twist program, which expires this month following its policy setting meeting later Wednesday.
The euro remained supported after data on Tuesday showed that Germany’s ZEW economic sentiment index improved significantly more than expected in December.
Earlier Wednesday, official data showed that industrial production in the euro zone fell 1.4% in October, down for a second successive month.
Elsewhere, Italy saw borrowing costs fall to the lowest level since March at an auction of 12-month government bonds, despite lingering uncertainty over the country’s political outlook.
The euro was slightly higher against the pound, with EUR/GBP easing up 0.12% to 0.8079 and hit multi-month highs against the broadly weaker yen, with EUR/JPY advancing 0.75% to 108.11.
Sterling found support after official data showed that the number of people claiming unemployment benefits in the U.K. declined unexpectedly in November, while the number of people in employment rose to a record high.
Meanwhile, the yen remained under broad selling pressure amid expectations that a change of government after the upcoming elections will add to political pressure on the Bank of Japan to implement more aggressive monetary easing measures.
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