Euro mixed against rivals as U.S. data eyed
Investing.com
Published Mar 15, 2012 07:55AM ET
Investing.com - The euro was mixed against its global counterparts on Thursday, as the dollar remained broadly supported by the improving outlook for the U.S. economy and concerns over the debt crisis in the euro zone waned.
During European late morning trade, the euro edged higher against the U.S. dollar, with EUR/USD rising 0.21% to hit 1.3058.
The greenback remained supported after the Federal Reserve upgraded its outlook on the U.S. economy earlier this week, causing investors to trims back expectations for a third round of quantitative easing by the central bank.
The shared currency was also slightly higher against the pound, with EUR/GBP easing up 0.13% to hit 0.8324.
Sentiment on sterling was dented after ratings agency Fitch placed the U.K.’s triple-A credit rating on negative outlook late Wednesday, warning that there is a slightly greater than 50% chance of a downgrade in the next two years, if the government eases back on implementing harsh austerity measures.
Elsewhere, the euro retreated from a five-week high against the Swiss franc, with EUR/CHF shedding 0.25% to hit 1.2098, after the Swiss National Bank kept its minimum exchange rate floor of 1.20 per euro unchanged earlier.
In its quarterly monetary policy statement, the SNB reiterated its pledge to defend the exchange rate floor with the “utmost determination," saying it was ready to buy foreign currency in unlimited quantities.
The exchange rate cap was introduced last September as the appreciation of the Swiss franc undermined exports and increased the risk of deflation.
The central bank also said that there are increasing signs that the Swiss economy is stabilizing and doubled its forecast for economic growth for this year to "around 1.0%".
Against the yen, the euro was lower, with EUR/JPY sliding 0.18% to hit 108.91.
The shared currency was mixed against the Australian, New Zealand and Canadian dollars, with EUR/AUD sliding 0.39% to hit 1.2423, EUR/NZD falling 0.61% to hit 1.6002 and EUR/CAD rising 0.19% to hit 1.2958.
Later in the day, the U.S. was to release government data on producer price inflation, as well as official data on unemployment claims. The country was also to produce reports on manufacturing activity in New York and Philadelphia.
Get The News You Want
Written By: Investing.com
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.