Investing.com - The euro was mixed against its major counterparts on Tuesday, as investors remained cautious ahead of a second day of talks between euro zone finance ministers in Brussels later in the day.
During European late morning trade, the euro was fractionally higher against the U.S. dollar, with EUR/USD easing up 0.04% to 1.2317.
Sentiment on the euro remained fragile as markets eyeing a second day of talks between euro zone finance ministers.
European finance ministers on Monday reached a deal to make EUR30 billion in aid available to assist Spain’s struggling banking sector by the end of the month, while also supporting plans to extend Spain’s deficit target deadline by one year to 2014.
They made no apparent progress, however, on activating the bloc's rescue funds to intervene in bond markets and bring down Spain and Italy’s spiraling borrowing costs.
Spain’s 10-year government bonds eased to 6.9% earlier, moving below the critical 7% threshold which is widely seen as unsustainable in the long-term.
Meanwhile, the euro was little changed against the pound, with EUR/GBP trading at 0.7930.
The pound was boosted after data showed that manufacturing production in the U.K. rose by 1.2% in May, blowing past expectations for a more modest 0.1% gain, after falling by 0.8% in April.
A separate report showed that the U.K.’s goods trade deficit narrowed to a seasonally adjusted GBP8.4 billion in May from a deficit of GBP9.7 billion in April, as exports jumped 6.6%.
The single currency edged lower against the yen, with EUR/JPY shedding 0.18% to trade at 97.79, but remained little changed against the Swiss franc, with EUR/CHF trading at 1.2010.
Elsewhere, the euro was mostly lower against the growth-linked Canadian, Australian and New Zealand dollars, with EUR/CAD easing down 0.07% to hit 1.2541, EUR/AUD down 0.22% to hit 1.2037 and EUR/NZD shedding 0.15% to 1.5439.
Fears over the global economic outlook intensified after official data showed that Chinese exports and imports in June slowed from the previous month, as weakening global demand weighed.
But market sentiment found support amid expectations that relentlessly poor data from China will push policy makers to introduce fresh stimulus to support the economy.
Also Tuesday, official data showed that French industrial production tumbled 1.9% in May, far more than expectations for a 0.9% fall and following a 1.4% rise the previous month.
During European late morning trade, the euro was fractionally higher against the U.S. dollar, with EUR/USD easing up 0.04% to 1.2317.
Sentiment on the euro remained fragile as markets eyeing a second day of talks between euro zone finance ministers.
European finance ministers on Monday reached a deal to make EUR30 billion in aid available to assist Spain’s struggling banking sector by the end of the month, while also supporting plans to extend Spain’s deficit target deadline by one year to 2014.
They made no apparent progress, however, on activating the bloc's rescue funds to intervene in bond markets and bring down Spain and Italy’s spiraling borrowing costs.
Spain’s 10-year government bonds eased to 6.9% earlier, moving below the critical 7% threshold which is widely seen as unsustainable in the long-term.
Meanwhile, the euro was little changed against the pound, with EUR/GBP trading at 0.7930.
The pound was boosted after data showed that manufacturing production in the U.K. rose by 1.2% in May, blowing past expectations for a more modest 0.1% gain, after falling by 0.8% in April.
A separate report showed that the U.K.’s goods trade deficit narrowed to a seasonally adjusted GBP8.4 billion in May from a deficit of GBP9.7 billion in April, as exports jumped 6.6%.
The single currency edged lower against the yen, with EUR/JPY shedding 0.18% to trade at 97.79, but remained little changed against the Swiss franc, with EUR/CHF trading at 1.2010.
Elsewhere, the euro was mostly lower against the growth-linked Canadian, Australian and New Zealand dollars, with EUR/CAD easing down 0.07% to hit 1.2541, EUR/AUD down 0.22% to hit 1.2037 and EUR/NZD shedding 0.15% to 1.5439.
Fears over the global economic outlook intensified after official data showed that Chinese exports and imports in June slowed from the previous month, as weakening global demand weighed.
But market sentiment found support amid expectations that relentlessly poor data from China will push policy makers to introduce fresh stimulus to support the economy.
Also Tuesday, official data showed that French industrial production tumbled 1.9% in May, far more than expectations for a 0.9% fall and following a 1.4% rise the previous month.