Investing.com - The euro edged higher against the pound on Tuesday, as the single currency remained supported by underlying expectations that Greek political leaders will come to an agreement on bailout terms and avoid a sovereign debt default.
EUR/GBP hit 0.8319 during European morning trade, the pair’s highest since Friday; the pair subsequently consolidated at 0.8306, gaining 0.11%.
The pair was likely to find support at 0.8264, Monday’s low and a two-week low and resistance at 0.8338, Friday’s high.
The euro found support after the head of the Eurogroup of finance ministers Jean-Claude Juncker said earlier that he was confident Greece would remain in the single currency bloc, provided that the country fulfilled its obligations to other bloc members.
Greek Prime Minister Lucas Papademos was due to hold talks with coalition leaders later Tuesday to discuss what conditions they are prepared to accept in exchange for a second bailout, after postponing talks on Monday and failing to finalize an agreement over the weekend.
A final agreement on Greece’s EUR130 billion bailout must be approved by February 15, in order to avert a default when a EUR14.5 billion bond repayment comes due on March 20.
In the U.K., a report by the British Retail Consortium showed that retail sales fell 0.3% on the year in January, after a 2.2% jump the previous month, as shoppers cut back on spending after heavy discounts boosted sales in the run up to Christmas.
The euro also pushed higher against the U.S. dollar, with EUR/USD adding 0.18% to hit 1.3153.
Later Tuesday, Germany was to publish official data on industrial production, while Federal Reserve Chairman Ben Bernanke was due to testify on the economic outlook and federal budget situation before the Senate Budget Committee in Washington.
EUR/GBP hit 0.8319 during European morning trade, the pair’s highest since Friday; the pair subsequently consolidated at 0.8306, gaining 0.11%.
The pair was likely to find support at 0.8264, Monday’s low and a two-week low and resistance at 0.8338, Friday’s high.
The euro found support after the head of the Eurogroup of finance ministers Jean-Claude Juncker said earlier that he was confident Greece would remain in the single currency bloc, provided that the country fulfilled its obligations to other bloc members.
Greek Prime Minister Lucas Papademos was due to hold talks with coalition leaders later Tuesday to discuss what conditions they are prepared to accept in exchange for a second bailout, after postponing talks on Monday and failing to finalize an agreement over the weekend.
A final agreement on Greece’s EUR130 billion bailout must be approved by February 15, in order to avert a default when a EUR14.5 billion bond repayment comes due on March 20.
In the U.K., a report by the British Retail Consortium showed that retail sales fell 0.3% on the year in January, after a 2.2% jump the previous month, as shoppers cut back on spending after heavy discounts boosted sales in the run up to Christmas.
The euro also pushed higher against the U.S. dollar, with EUR/USD adding 0.18% to hit 1.3153.
Later Tuesday, Germany was to publish official data on industrial production, while Federal Reserve Chairman Ben Bernanke was due to testify on the economic outlook and federal budget situation before the Senate Budget Committee in Washington.