Investing.com - The euro extended Friday's losses against the dollar on Monday in wake of the Standard & Poor's ratings agency's decision to downgrade France, stripping the country of its AAA rating.
EUR/USD hit 1.2651 in early Asian trading on Monday, down 0.21%, up from a session low of 1.2635 and off from a high of 1.2658.
The pair was likely to find support at 1.2624, Friday's low, and resistance at 1.2878, Friday's high.
In Europe, Standard & Poor's downgraded France and several other eurozone countries, which sparked a rush to the dollar as a safe-haven play that continued on Monday.
"Those downgrades provided another excuse for the speculative community to add to their short positions in euro," said Mike Jones, a currency strategist at Bank of New Zealand in Wellington, according to Bloomberg.
"We’ve got a few more European debt auctions out there as market sentiment continues to be tested."
Recent government bond auctions in Italy and Spain have met with lukewarm response.
The euro was down against the pound and also against the yen, with EUR/GBP falling 0.13% to 0.8267 and EUR/JPY falling 0.34% at 97.23.
U.S. markets are closed on Monday for the Dr. Martin Luther King, Jr., holiday while in Europe, European Central Bank President Mario Draghi will testify before the European Parliament's Economic and Monetary Affairs Committee.
Japan will unveil government data on core machinery orders, a leading indicator of production, while Australia will release industry data on job advertisements, followed by an official report on home loans.
The U.K. is to publish an industry report by property website Rightmove on house price inflation, a key gauge of the housing industry’s health.
Switzerland will release a government report on producer price inflation, a key indicator of consumer inflation.
EUR/USD hit 1.2651 in early Asian trading on Monday, down 0.21%, up from a session low of 1.2635 and off from a high of 1.2658.
The pair was likely to find support at 1.2624, Friday's low, and resistance at 1.2878, Friday's high.
In Europe, Standard & Poor's downgraded France and several other eurozone countries, which sparked a rush to the dollar as a safe-haven play that continued on Monday.
"Those downgrades provided another excuse for the speculative community to add to their short positions in euro," said Mike Jones, a currency strategist at Bank of New Zealand in Wellington, according to Bloomberg.
"We’ve got a few more European debt auctions out there as market sentiment continues to be tested."
Recent government bond auctions in Italy and Spain have met with lukewarm response.
The euro was down against the pound and also against the yen, with EUR/GBP falling 0.13% to 0.8267 and EUR/JPY falling 0.34% at 97.23.
U.S. markets are closed on Monday for the Dr. Martin Luther King, Jr., holiday while in Europe, European Central Bank President Mario Draghi will testify before the European Parliament's Economic and Monetary Affairs Committee.
Japan will unveil government data on core machinery orders, a leading indicator of production, while Australia will release industry data on job advertisements, followed by an official report on home loans.
The U.K. is to publish an industry report by property website Rightmove on house price inflation, a key gauge of the housing industry’s health.
Switzerland will release a government report on producer price inflation, a key indicator of consumer inflation.