Investing.com - The euro pared losses against the yen on Monday, easing off a ten-year low as speculation over potential rate cuts by the European Central Bank eased concerns over the deepening euro zone debt crisis.
EUR/JPY retreated from 101.94, the pair's lowest in a decade to hit 103.06 during European afternoon trade, still down 0.31%.
The pair was likely to find support at 101.94, the daily low and resistance at 105.17, the high of September 20.
The single currency found support amid speculation that the ECB may cut interest rates to support the fragile euro zone economy, after ECB policymaker Ewald Nowotny said that the possibility of interest rate cuts should not be ruled out.
Also Monday, a report by the Ifo Institute showed that German business confidence declined less-than-expected in September, slipping to 107.5 from 108.7 the previous month.
Analysts had expected business confidence to fall to 107.5 in September.
The euro fell sharply earlier, after weekend meetings of financial leaders from G-20 nations and the International Monetary Fund resulted in no new progress on resolving the debt crisis in the single currency bloc.
Germany's deputy finance minister also said that Athens may have to wait beyond a meeting on October 3rd for a decision on its next tranche of bailout funds.
Elsewhere, the euro was lower against the dollar with EUR/USD edging down 0.01%, to trade at 1.3496.
Later in the day, a U.S. report on new home sales was to be published.
EUR/JPY retreated from 101.94, the pair's lowest in a decade to hit 103.06 during European afternoon trade, still down 0.31%.
The pair was likely to find support at 101.94, the daily low and resistance at 105.17, the high of September 20.
The single currency found support amid speculation that the ECB may cut interest rates to support the fragile euro zone economy, after ECB policymaker Ewald Nowotny said that the possibility of interest rate cuts should not be ruled out.
Also Monday, a report by the Ifo Institute showed that German business confidence declined less-than-expected in September, slipping to 107.5 from 108.7 the previous month.
Analysts had expected business confidence to fall to 107.5 in September.
The euro fell sharply earlier, after weekend meetings of financial leaders from G-20 nations and the International Monetary Fund resulted in no new progress on resolving the debt crisis in the single currency bloc.
Germany's deputy finance minister also said that Athens may have to wait beyond a meeting on October 3rd for a decision on its next tranche of bailout funds.
Elsewhere, the euro was lower against the dollar with EUR/USD edging down 0.01%, to trade at 1.3496.
Later in the day, a U.S. report on new home sales was to be published.