Investing.com - The euro rose against the yen on Thursday as despite a growing political riff in Greece and deepening financial concerns out of Spain, investors snapped up nicely priced positions and kept the euro steady.
In Asian trading on Thursday, EUR/JPY hit 103.28, up 0.31%, up from a low of 102.91 and off a high of 103.29.
The pair sought to test support at 102.76, the low of May 9, and resistance at 103.94, the high of May 9.
The news out of Europe has been bearish for the euro, sending the unit down to the point it rebounded amid bottom fishing in Asian trading Thursday.
In Greece, recent parliamentary elections fractured the political landscape, with no one party mustering enough control to establish a coalition government.
Fears are arising that the leftist Syriza party, which is trying to patch together a government at present, will continue calling for rejection of austerity measures attached to bailout money and eventually lead the country toward default and out of the eurozone.
Talk of a new round of elections taking place grew on Thursday, especially close to a June disbursement of aid money for the country.
Failure to form a coalition government could disrupt currency markets.
In Spain, the yield on the country’s 10-year bonds have shot up above 6% as investors demanded more from the government for investing in the country.
Talk that that Spain will demand its banks to set aside EUR35 billion to cushion the financial sector fanned fears Madrid will need a bailout.
In Japan, the country posted a surprise current account surplus.
The euro, meanwhile, was up against the pound and up against the Canadian dollar, with EUR/GBP up 0.07% at 0.8022 and EUR/CAD up 0.02% and trading at 1.2966.
Later Thursday, French industrial production figures will be released followed by the ECB’s monthly bulletin.
In Asian trading on Thursday, EUR/JPY hit 103.28, up 0.31%, up from a low of 102.91 and off a high of 103.29.
The pair sought to test support at 102.76, the low of May 9, and resistance at 103.94, the high of May 9.
The news out of Europe has been bearish for the euro, sending the unit down to the point it rebounded amid bottom fishing in Asian trading Thursday.
In Greece, recent parliamentary elections fractured the political landscape, with no one party mustering enough control to establish a coalition government.
Fears are arising that the leftist Syriza party, which is trying to patch together a government at present, will continue calling for rejection of austerity measures attached to bailout money and eventually lead the country toward default and out of the eurozone.
Talk of a new round of elections taking place grew on Thursday, especially close to a June disbursement of aid money for the country.
Failure to form a coalition government could disrupt currency markets.
In Spain, the yield on the country’s 10-year bonds have shot up above 6% as investors demanded more from the government for investing in the country.
Talk that that Spain will demand its banks to set aside EUR35 billion to cushion the financial sector fanned fears Madrid will need a bailout.
In Japan, the country posted a surprise current account surplus.
The euro, meanwhile, was up against the pound and up against the Canadian dollar, with EUR/GBP up 0.07% at 0.8022 and EUR/CAD up 0.02% and trading at 1.2966.
Later Thursday, French industrial production figures will be released followed by the ECB’s monthly bulletin.