Forex - Broadly weaker euro near 4-month lows vs. dollar
Investing.com
Published Mar 27, 2013 08:56AM ET
EUR/USD hit 1.2763 during European afternoon trade, the pair’s lowest since November 21; the pair subsequently consolidated at 1.2780, shedding 0.63%.
The pair was likely to find support at 1.2699, the low of November 14 and resistance at 1.2866, the session high.
Investor focus shifted away from Cyprus to Italy following media reports that Pier Luigi Bersani, the head of Italy’s center-left alliance, ruled out forming a coalition government, saying that only an “insane person” would want to govern Italy.
Earlier Wednesday, demand at an auction of Italian government debt was soft amid investor concerns over the ongoing political stalemate.
Investors also remained concerned that the bailout deal for Cyprus could set a precedent for future bailouts in larger euro zone states, with big bank depositors and senior bond holders forced to suffer losses.
Elsewhere, data showed that economic confidence in the euro zone declined this month, reversing four months of gains, reinforcing concerns over the economic outlook for the currency bloc.
The European Commission’s economic sentiment index slumped by 1.1 points to 90.0, led lower by falling optimism among manufacturers.
The euro extended losses against the pound and the yen, with EUR/GBP down 0.27% to 0.8460 and EUR/JPY falling 0.78% to 120.51.
The U.S was to release private sector data on pending home sales later in the trading day.
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.