Forex - EUR/USD edges higher as U.S. debt deadlock weighs
Investing.com
Published Jul 25, 2011 02:37AM ET
EUR/USD hit 1.4418 during late Asian trade, the daily high; the pair subsequently consolidated at 1.4379, easing up 0.15%.
The pair was likely to find support at 1.4168, last Thursday’s low and short-term resistance at 1.4465, the high of July 6.
House Speaker John Boehner told Republican lawmakers on a conference call Sunday evening that no "grand deal" on raising the debt ceiling was possible with President Barack Obama.
Talks between President Obama and Republicans broke down late Friday, after the Senate rejected a USD3 trillion deficit reduction plan, adding to fears over a potential default ahead of August 2 deadline to raise the country’s USD14.3 trillion debt ceiling.
Last week, ratings agency Standard & Poor's said there is a 50-50 chance that the triple-A credit rating of the U.S. could be cut within three months.
The euro was also fractionally higher against the pound, with EUR/GBP inching up 0.02% to hit 0.8809.
Also Monday, ratings agency Moody's downgraded Greece's sovereign debt by three notches to Ca from Caa1, after euro zone leaders announced a new aid package for the country worth EUR159 billion late last week.
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.