Investing.com - The euro tumbled to a two-day low against the yen on Monday, as renewed concerns over the euro zone's debt crisis following an Italian bond auction weighed on demand for the single currency.
EUR/JPY hit 105.03 during European afternoon trade, the pair's lowest since November 10; the pair subsequently consolidated at 105.19, dropping 0.83%.
The pair was likely to find support at 104.00, the low of October 11 and resistance at 107.58, the high of November 9.
The euro came under pressure after Italy’s Treasury raised the maximum targeted amount of EUR3 billion at the sale, but yields on the five-year bonds rose to a euro-era high of 6.29%, up from 5.32% at a similar auction a month ago.
Over the weekend, Italy’s President Giorgio Napolitano appointed former European Commissioner Mario Monti to head a new government as the country attempts to implement austerity measures while simultaneously shoring up economic growth.
Earlier Monday, official data showed that industrial output in the euro zone fell at the fastest pace in two-and-a-half years in September, dropping 2%, slightly less than expectations for a 2.2% decline, but erasing all of the previous month's 1.4% gain.
The weak data underlined concerns over the threat of an economic downturn in the single currency bloc.
Elsewhere, the yen was up against the U.S. dollar with USD/JPY shedding 0.21%, to hit 76.97.
Also Monday, preliminary data showed Japan's gross domestic product rose in line with expectations in the third quarter, growing 1.5%, the first gain since the economy was hit by the March 11 earthquake disaster.
EUR/JPY hit 105.03 during European afternoon trade, the pair's lowest since November 10; the pair subsequently consolidated at 105.19, dropping 0.83%.
The pair was likely to find support at 104.00, the low of October 11 and resistance at 107.58, the high of November 9.
The euro came under pressure after Italy’s Treasury raised the maximum targeted amount of EUR3 billion at the sale, but yields on the five-year bonds rose to a euro-era high of 6.29%, up from 5.32% at a similar auction a month ago.
Over the weekend, Italy’s President Giorgio Napolitano appointed former European Commissioner Mario Monti to head a new government as the country attempts to implement austerity measures while simultaneously shoring up economic growth.
Earlier Monday, official data showed that industrial output in the euro zone fell at the fastest pace in two-and-a-half years in September, dropping 2%, slightly less than expectations for a 2.2% decline, but erasing all of the previous month's 1.4% gain.
The weak data underlined concerns over the threat of an economic downturn in the single currency bloc.
Elsewhere, the yen was up against the U.S. dollar with USD/JPY shedding 0.21%, to hit 76.97.
Also Monday, preliminary data showed Japan's gross domestic product rose in line with expectations in the third quarter, growing 1.5%, the first gain since the economy was hit by the March 11 earthquake disaster.