Investing.com - The euro weakened against the yen on Monday as investors ditched the European currency in wake of a Fitch Ratings decision to cut credit ratings of Italy, Spain and three other euro-area countries on Friday.
EUR/JPY hit 101.20 in early Asian trading on Monday, down 0.18%, up from a session low of 101.07 and off from a high of 101.46.
The pair sought to test support at 100.60, Friday's low, and resistance at 101.54, Friday's high.
The euro slid against the yen and other major currencies Monday as investors also sold to await results of an E.U. economic summit unfolding in Brussels.
Meanwhile, the Fitch decision to cut ratings also bolstered the yen against the euro.
Furthermore, Greece has yet to strike a deal with its private lenders to secure the next tranche of bailout funds to prevent a sovereign debt default, as the country does not have enough money to cover a EUR14.5 billion bond repayment due March 20.
While investors are growing increasingly optimistic that Greece and its private lenders will pull through, applause won't resonate across foreign-exchange markets until a deal is announced and the language is bullish.
The yen, meanwhile, was down against the dollar and up against the pound, with USD/JPY rising 0.04% to 76.73 and GBP/JPY losing 0.04% at 120.59.
On top of keeping an eye on the E.U. economic summit, market watchers will monitor preliminary data on German consumer price inflation.
Japanese manufacturing, household spending, unemployment and industrial output numbers are due out later Monday as well.
In Australia, the National Australia Bank's Business Confidence index will be released.
The U.S. is to publish government data on personal consumption expenditure, a leading indicator of inflation, followed by data on personal spending, the motor of the U.S. economy.
EUR/JPY hit 101.20 in early Asian trading on Monday, down 0.18%, up from a session low of 101.07 and off from a high of 101.46.
The pair sought to test support at 100.60, Friday's low, and resistance at 101.54, Friday's high.
The euro slid against the yen and other major currencies Monday as investors also sold to await results of an E.U. economic summit unfolding in Brussels.
Meanwhile, the Fitch decision to cut ratings also bolstered the yen against the euro.
Furthermore, Greece has yet to strike a deal with its private lenders to secure the next tranche of bailout funds to prevent a sovereign debt default, as the country does not have enough money to cover a EUR14.5 billion bond repayment due March 20.
While investors are growing increasingly optimistic that Greece and its private lenders will pull through, applause won't resonate across foreign-exchange markets until a deal is announced and the language is bullish.
The yen, meanwhile, was down against the dollar and up against the pound, with USD/JPY rising 0.04% to 76.73 and GBP/JPY losing 0.04% at 120.59.
On top of keeping an eye on the E.U. economic summit, market watchers will monitor preliminary data on German consumer price inflation.
Japanese manufacturing, household spending, unemployment and industrial output numbers are due out later Monday as well.
In Australia, the National Australia Bank's Business Confidence index will be released.
The U.S. is to publish government data on personal consumption expenditure, a leading indicator of inflation, followed by data on personal spending, the motor of the U.S. economy.