Forex - EUR/USD down as Spain budget eyed
Investing.com
Published Mar 29, 2012 11:28AM ET
EUR/USD hit 1.3253 during U.S. morning trade, the pair’s lowest since March 26; the pair subsequently consolidated at 1.3266, shedding 0.38%.
The pair was likely to find support at 1.3191, the low of March 26 and resistance at 1.3344, the session high.
The Department of Labor said the number of individuals filing for initial jobless benefits in the U.S. fell by 5,000 to a seasonally adjusted 359,000 last week, the lowest level since April 2008, but less than expectations for a decline to 350,000.
The previous week’s figure was revised up to 364,000 from 348,000.
A separate report showed that the U.S. economy grew by 0.3% during the final three months of 2011, unchanged from a preliminary estimate.
Sentiment on the euro remained downbeat on the back of concerns over high Spanish borrowing costs ahead of the government’s budget statement on Friday, amid fears that the government will fail to implement harsh austerity measures to slash the country’s deficit, in the face of public unrest and a looming recession.
Earlier Thursday, official data showed that the number of unemployed people in Germany fell more-than-expected in March, while the country’s jobless rate dropped to a record low of 6.7%, indicating that the region’s largest economy is shrugging off the effects of the debt crisis.
Meanwhile, investors continued to look ahead to a meeting of euro zone finance ministers on Friday, amid expectations that they would agree on a larger debt firewall to combat the debt crisis in the region.
The euro was lower against the pound, with EUR/GBP shedding 0.51% to hit 0.8338 and was sharply lower against the broadly stronger yen, with EUR/JPY tumbling 1.04% to hit 109.23.
Later Thursday, Federal Reserve Chairman Ben Bernanke was to speak.
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.