Investing.com - The dollar resumed its safe-haven status role on Wednesday after investors sought safety in the liquid greenback amid growing expectations that the U.S. is poised to launch military strikes against Syria for the latter's alleged use of chemical weapons.
In U.S. trading on Wednesday, EUR/USD was down 0.47% at 1.3330, up from a session low of 1.3305 and off from a high of 1.3398.
The pair was likely to find support at 1.3298, Thursday's low, and resistance at 1.3452, the high from Aug. 20.
The dollar fell earlier this week on sentiments that Syria's alleged use of chemical weapons in its civil war threatened a military response from the U.S. despite criticisms from Russia, China and Iran.
By Wednesday, however, the dollar rose after the U.S. and its allies were preparing an organized and coordinated attack against Syria.
British Prime Minister David Cameron drafted a United Nations resolution condemning the use of chemical weapons in Syria while "authorizing necessary measures to protect civilians" on Wednesday. The resolution was to be put forward at a meeting of the U.N. Security Council later in the day.
Elsewhere, soft sentiment data out of Europe's largest economy weakened the single currency.
The Gfk German consumer climate index edged down to 6.9 in August from 7.0 in July. Analysts were expecting the index to rise to 7.1 this month.
Housing data in the U.S. took a back seat to geopolitical tensions and met muted market response.
The National Association U.S. pending home sales fell 1.3% in July, more than consensus forecasts for a 0.5% fall after a 0.4% loss in June.
Softer-than-expected U.S. economic indicators tend to keep expectations going that the Federal Reserve will begin tapering dollar-weakening stimulus measures later rather than sooner.
The euro, meanwhile, was down against the pound and up against the yen, with EUR/GBP trading down 0.33% at 0.8587 and EUR/JPY trading up 0.13% at 130.12.
On Thursday in the euro zone, Italy is to hold an auction of government bonds.
The U.S. is to publish revised second-quarter gross domestic product growth rates as well as the weekly report on initial jobless claims.
In U.S. trading on Wednesday, EUR/USD was down 0.47% at 1.3330, up from a session low of 1.3305 and off from a high of 1.3398.
The pair was likely to find support at 1.3298, Thursday's low, and resistance at 1.3452, the high from Aug. 20.
The dollar fell earlier this week on sentiments that Syria's alleged use of chemical weapons in its civil war threatened a military response from the U.S. despite criticisms from Russia, China and Iran.
By Wednesday, however, the dollar rose after the U.S. and its allies were preparing an organized and coordinated attack against Syria.
British Prime Minister David Cameron drafted a United Nations resolution condemning the use of chemical weapons in Syria while "authorizing necessary measures to protect civilians" on Wednesday. The resolution was to be put forward at a meeting of the U.N. Security Council later in the day.
Elsewhere, soft sentiment data out of Europe's largest economy weakened the single currency.
The Gfk German consumer climate index edged down to 6.9 in August from 7.0 in July. Analysts were expecting the index to rise to 7.1 this month.
Housing data in the U.S. took a back seat to geopolitical tensions and met muted market response.
The National Association U.S. pending home sales fell 1.3% in July, more than consensus forecasts for a 0.5% fall after a 0.4% loss in June.
Softer-than-expected U.S. economic indicators tend to keep expectations going that the Federal Reserve will begin tapering dollar-weakening stimulus measures later rather than sooner.
The euro, meanwhile, was down against the pound and up against the yen, with EUR/GBP trading down 0.33% at 0.8587 and EUR/JPY trading up 0.13% at 130.12.
On Thursday in the euro zone, Italy is to hold an auction of government bonds.
The U.S. is to publish revised second-quarter gross domestic product growth rates as well as the weekly report on initial jobless claims.