Investing.com - The euro edged lower against the broadly stronger dollar on Thursday after the minutes of the Federal Reserve’s latest meeting indicated that policymakers remain divided on when to start scaling back the bank’s stimulus program.
EUR/USD hit 1.3332 during late Asian trade, the lowest since Tuesday; the pair subsequently consolidated at 1.3347, dipping 0.06%.
The pair was likely to find support at 1.3200 and resistance at 1.3426, Wednesday’s high.
The minutes of the Fed’s July meeting showed that officials were "broadly comfortable" with plans to scale back the bank’s USD85 billion-a-month stimulus program.
However, policymakers remain divided over the timing of possible tapering, with almost all committee members agreeing that a change in the purchase program was not yet appropriate.
The minutes described recent U.S. economic data as “mixed “, indicating that plans to taper could be pushed back if the economy was to weaken.
The euro remained supported after data out of China eased concerns over a slowdown in the world’s second largest economy.
Data on Thursday showed that the preliminary reading of China’s HSBC manufacturing purchasing managers’ index rose to a four-month high of 50.1 in August, up from 47.7 in July. Economists had forecast a reading of 48.3.
The euro was higher against the pound and the yen, with EUR/GBP up 0.26% to 0.8549 and EUR/JPY climbing 0.48% to 131.06.
The euro zone was to release data on manufacturing and service sector data later in the session, while the U.S. was to publish a report on initial jobless claims.
EUR/USD hit 1.3332 during late Asian trade, the lowest since Tuesday; the pair subsequently consolidated at 1.3347, dipping 0.06%.
The pair was likely to find support at 1.3200 and resistance at 1.3426, Wednesday’s high.
The minutes of the Fed’s July meeting showed that officials were "broadly comfortable" with plans to scale back the bank’s USD85 billion-a-month stimulus program.
However, policymakers remain divided over the timing of possible tapering, with almost all committee members agreeing that a change in the purchase program was not yet appropriate.
The minutes described recent U.S. economic data as “mixed “, indicating that plans to taper could be pushed back if the economy was to weaken.
The euro remained supported after data out of China eased concerns over a slowdown in the world’s second largest economy.
Data on Thursday showed that the preliminary reading of China’s HSBC manufacturing purchasing managers’ index rose to a four-month high of 50.1 in August, up from 47.7 in July. Economists had forecast a reading of 48.3.
The euro was higher against the pound and the yen, with EUR/GBP up 0.26% to 0.8549 and EUR/JPY climbing 0.48% to 131.06.
The euro zone was to release data on manufacturing and service sector data later in the session, while the U.S. was to publish a report on initial jobless claims.