Investing.com - The euro was almost unchanged against the U.S. dollar on Wednesday, as concerns over the outlook for global economic growth continued to weigh and investors awaited the minutes of the Federal Reserve's most recent policy meeting.
EUR/USD hit 1.2623 during U.S. morning trade, the session low; the pair subsequently consolidated at 1.2668, inching down 0.03%.
The pair was likely to find support at 1.2502, the low of October 6 and resistance at 1.2761, the high of September 26.
Market sentiment came under pressure on Tuesday after the International Monetary Fund said it is now forecasting global economic growth of 3.3% this year, down from 3.4% in July and expects growth of 3.8% in 2015, compared to an earlier prediction of 4.0%. It also warned that global growth may never reach its pre-crisis levels ever again.
The fund said Europe was experiencing a "multispeed recovery" and revised down its growth forecasts for Germany, France and Italy saying progress was still "slow and tentative" in many countries.
Sentiment on the euro also remained vulnerable after a report on Tuesday showing a steep decline in German factory orders in August fuelled fears that the euro zone’s largest economy is falling into a recession.
The weak data added to expectations that the European Central Bank will implement additional stimulus measures in a bid to shore up slowing growth and inflation in the region.
News that a Spanish nurse had become the first person outside West Africa to have contracted the deadly Ebola virus also unsettled markets.
Elsewhere, the euro was fractionally higher against the euro, with EUR/GBP edging up 0.08% to 0.7875.
Investors were turning their attention to the minutes of the Fed’s September meeting, due out later in the day, for fresh indications on the future possible direction of U.S. monetary policy.