Investing.com - The euro dipped against the dollar on Thursday, as while Greece and multilateral institutions have largely agreed on a game plan to fight the debt crisis, that plan has yet to bcome signed and documented policy, which sent investors running to the dollar for safety.
In Asian trading on Thursday, EUR/USD hit 1.3234, down 0.20%, firming from a session low of 1.3215 and off from a high of 1.3262.
The pair was likely to find support at 1.3090, Tuesday's low, and resistance at 1.3289, Wednesday's earlier high.
Greece is seeking EUR130 billion in assistance funding if it is to avoid a messy default in March, and must restructure its debts with private creditors as well as agree to austerity measures from multilateral lenders to tap those funds.
Multilateral organizations such as the International Monetary Fund, the European Union and the European Central Bank are insisting that Greece agree to politically unpopular austerity measures such as minimum wage cuts and pension reform in exchange for bailout money, and the country is close to accepting terms.
Reports emerged, however, that Athens has agreed to slash public-sector payrolls, but some in the country's ruling coalition balked at pension reform, thus throwing a formal agreement into delay anew.
Previous austerity plans have sent unemployment rates soaring and growth rates plunging in Greece, and some Greek officials and even private economists have said such tough measures designed to streamline the government will deal fresh blows to an already seriously bruised economy.
Markets, meanwhile, have grown weary of delay after delay in the Greece talks, but now seem used to it.
"There’s a bit of fatigue setting in and the markets are a little bit less reactive than they’ve been," said Robert Sinche, global head of currency strategy at Royal Bank of Scotland Plc in Stamford, Connecticut, according to Bloomberg.
"The euro continues to be reasonably well bid. The market came to realize that ‘haven’t made a decision’ is not bad."
The euro, meanwhile, was down against both the pound and the yen, with EUR/GBP losing 0.10% to 0.8376 and EUR/JPY falling 0.12% at 102.04.
Later Thursday, Switzerland will release a government report on consumer climate, an important indicator of consumer spending.
The U.K. will release official data on manufacturing output as well as figures on the country’s trade balance.
The U.K. National Institute of Economic and Social Research is to publish its monthly estimate on gross domestic product.
Also Thursday, the Bank of England is to announce its plans for benchmark interest rates.
The ECB is also to announce set to address benchmark interest rates as well, followed by a press conference.
The conference will draw close market scrutiny, as the world will be keen on language hinting at a need for monetary measures to counter the region’s sovereign debt crisis.
Later in the day, the U.S. is to publish government data on initial jobless claims, a key signal of overall economic health.
In Asian trading on Thursday, EUR/USD hit 1.3234, down 0.20%, firming from a session low of 1.3215 and off from a high of 1.3262.
The pair was likely to find support at 1.3090, Tuesday's low, and resistance at 1.3289, Wednesday's earlier high.
Greece is seeking EUR130 billion in assistance funding if it is to avoid a messy default in March, and must restructure its debts with private creditors as well as agree to austerity measures from multilateral lenders to tap those funds.
Multilateral organizations such as the International Monetary Fund, the European Union and the European Central Bank are insisting that Greece agree to politically unpopular austerity measures such as minimum wage cuts and pension reform in exchange for bailout money, and the country is close to accepting terms.
Reports emerged, however, that Athens has agreed to slash public-sector payrolls, but some in the country's ruling coalition balked at pension reform, thus throwing a formal agreement into delay anew.
Previous austerity plans have sent unemployment rates soaring and growth rates plunging in Greece, and some Greek officials and even private economists have said such tough measures designed to streamline the government will deal fresh blows to an already seriously bruised economy.
Markets, meanwhile, have grown weary of delay after delay in the Greece talks, but now seem used to it.
"There’s a bit of fatigue setting in and the markets are a little bit less reactive than they’ve been," said Robert Sinche, global head of currency strategy at Royal Bank of Scotland Plc in Stamford, Connecticut, according to Bloomberg.
"The euro continues to be reasonably well bid. The market came to realize that ‘haven’t made a decision’ is not bad."
The euro, meanwhile, was down against both the pound and the yen, with EUR/GBP losing 0.10% to 0.8376 and EUR/JPY falling 0.12% at 102.04.
Later Thursday, Switzerland will release a government report on consumer climate, an important indicator of consumer spending.
The U.K. will release official data on manufacturing output as well as figures on the country’s trade balance.
The U.K. National Institute of Economic and Social Research is to publish its monthly estimate on gross domestic product.
Also Thursday, the Bank of England is to announce its plans for benchmark interest rates.
The ECB is also to announce set to address benchmark interest rates as well, followed by a press conference.
The conference will draw close market scrutiny, as the world will be keen on language hinting at a need for monetary measures to counter the region’s sovereign debt crisis.
Later in the day, the U.S. is to publish government data on initial jobless claims, a key signal of overall economic health.