Investing.com - The euro extended gains against the U.S. dollar on Thursday, rising to a fresh one-week high after a string of mixed U.S. economic data added to speculation that the Federal Reserve may implement fresh easing measures at its monetary policy meeting next week.
EUR/USD hit 1.2299 during European afternoon trade, the pair’s highest since July 19; the pair subsequently consolidated at 1.2309, jumping 1.24%.
The pair was likely to find support at 1.2118, the day’s low and resistance at 1.2400, the high of July 6.
Official data showed that U.S. core durable goods orders, which exclude transportation items, fell unexpectedly in June, declining 1.1% after a 0.8% rise the previous month. Analysts had expected core durable goods orders to rise 0.1% the previous month.
The report also showed that durable goods orders rose 1.6%, beating expectations for a 0.4% increase and following a 1.6% rise in May.
Separately, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending July 21 fell by 35,000 to a seasonally adjusted 353,000, compared to expectations for a decline of 8,000 to 380,000.
The previous week’s figure was revised up to 388,000 from a previously reported 386,000.
Meanwhile, the single currency remained supported after European Central Bank President Mario Draghi pledged to do everything in his mandate to save the euro.
In a speech in London, Draghi also appeared to indicate that the ECB would be prepared to intervene to lower Spanish and Italian bond yields, saying that government borrowing costs would fall within the central bank’s mandate if they interfered with the 'transmission' of monetary policy.
The yield on Spanish 10-year bonds dropped back to 6.99% from a session high of 7.38% following the remarks, while the yield on Italian 10-year bonds pulled back to 6.06%.
Elsewhere, the euro was steady against the pound with EUR/GBP easing 0.06%, to hit 0.7839.
Later in the day, European Commission President José Manuel Barroso was to hold talks with talks with Greek Prime Minister Antonis Samaras, amid concerns that the country’s economic reform program is off schedule.
In addition, the U.S. was to release industry data on pending home sales.
EUR/USD hit 1.2299 during European afternoon trade, the pair’s highest since July 19; the pair subsequently consolidated at 1.2309, jumping 1.24%.
The pair was likely to find support at 1.2118, the day’s low and resistance at 1.2400, the high of July 6.
Official data showed that U.S. core durable goods orders, which exclude transportation items, fell unexpectedly in June, declining 1.1% after a 0.8% rise the previous month. Analysts had expected core durable goods orders to rise 0.1% the previous month.
The report also showed that durable goods orders rose 1.6%, beating expectations for a 0.4% increase and following a 1.6% rise in May.
Separately, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending July 21 fell by 35,000 to a seasonally adjusted 353,000, compared to expectations for a decline of 8,000 to 380,000.
The previous week’s figure was revised up to 388,000 from a previously reported 386,000.
Meanwhile, the single currency remained supported after European Central Bank President Mario Draghi pledged to do everything in his mandate to save the euro.
In a speech in London, Draghi also appeared to indicate that the ECB would be prepared to intervene to lower Spanish and Italian bond yields, saying that government borrowing costs would fall within the central bank’s mandate if they interfered with the 'transmission' of monetary policy.
The yield on Spanish 10-year bonds dropped back to 6.99% from a session high of 7.38% following the remarks, while the yield on Italian 10-year bonds pulled back to 6.06%.
Elsewhere, the euro was steady against the pound with EUR/GBP easing 0.06%, to hit 0.7839.
Later in the day, European Commission President José Manuel Barroso was to hold talks with talks with Greek Prime Minister Antonis Samaras, amid concerns that the country’s economic reform program is off schedule.
In addition, the U.S. was to release industry data on pending home sales.