Forex - EUR/USD up but gains capped ahead of EU summit
Investing.com
Published Jul 19, 2011 10:22AM ET
EUR/USD hit 1.4217 during U.S. morning trade, the pair’s highest since July 14; the pair subsequently consolidated at 1.4207, gaining 0.68%.
The pair was likely to find support at 1.4013, Monday’s low and resistance at 1.4281, the high of July 14.
The single currency found support as yields on Italian and Spanish government bonds retreated slightly after rising sharply on Monday amid fears over sovereign debt contagion.
Meanwhile, Spain auctioned close to the targeted amount of EUR4.5 billion of 12 and 18-month Treasury bills, but at sharply higher borrowing costs than at a previous auction in June.
On Thursday, euro zone leaders were to meet in Brussels attempt to finalize a second EUR110 billion bailout for Greece and discuss the overall financial stability of the single currency bloc.
Elsewhere, a report by the ZEW Centre for Economic Research said its index of German economic sentiment fell more-than-expected in July, dropping for the fifth consecutive month, as concerns over sovereign debt levels in the euro zone weighed.
The euro was also higher against the pound, with EUR/GBP easing up 0.12% to hit 0.8799.
Also Tuesday, official data showed U.S. housing starts rose more than expected in June to touch a six-month high and permits for future construction unexpectedly increased.
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.