Investing.com – The euro pared losses against the U.S. dollar on Monday, after euro zone officials said the lending capacity of the region’s bailout fund, the European Financial Stability Facility was to be increased.
EUR/USD pulled away from 1.4192, the daily low, to hit 1.4303 during early U.S. trade, down just 0.04% on the day.
The pair was likely to find support at 1.4072, last Thursday’s low and a three-week low and resistance at 1.4450, the high of June 15.
Jean-Claude Juncker, head of the Eurogroup of finance ministers, said euro-zone officials will increase EFSF effective lending capacity to EUR780 billion from EUR440 billion.
The euro weakened broadly earlier, after euro zone finance ministers said Sunday that Greece will get the next round of its existing bailout package in early July, if it can pass new spending and economic reforms by the end of the month.
Greece’s parliament was expected to vote on the controversial new austerity package on Tuesday.
The euro also pared losses against the pound, with EUR/GBP slipping 0.13% to hit 0.8862.
Also Monday, official data showed that Germany’s producer price index was unexpectedly flat in May, after rising 1.0% in April. Analysts had expected the index to rise by 0.2% in May.
A separate report showed that the euro zone current account deficit widened more-than-expected in April.
EUR/USD pulled away from 1.4192, the daily low, to hit 1.4303 during early U.S. trade, down just 0.04% on the day.
The pair was likely to find support at 1.4072, last Thursday’s low and a three-week low and resistance at 1.4450, the high of June 15.
Jean-Claude Juncker, head of the Eurogroup of finance ministers, said euro-zone officials will increase EFSF effective lending capacity to EUR780 billion from EUR440 billion.
The euro weakened broadly earlier, after euro zone finance ministers said Sunday that Greece will get the next round of its existing bailout package in early July, if it can pass new spending and economic reforms by the end of the month.
Greece’s parliament was expected to vote on the controversial new austerity package on Tuesday.
The euro also pared losses against the pound, with EUR/GBP slipping 0.13% to hit 0.8862.
Also Monday, official data showed that Germany’s producer price index was unexpectedly flat in May, after rising 1.0% in April. Analysts had expected the index to rise by 0.2% in May.
A separate report showed that the euro zone current account deficit widened more-than-expected in April.