Investing.com - The euro hit fresh session highs against the U.S. dollar on Wednesday, following the announcement that the European Union Commissioner for economic and monetary affairs Olli Rehn was to make a statement on Spain later in the day.
EUR/USD hit 1.2756 during European afternoon trade, the pair’s highest since November 9; the pair subsequently consolidated at 1.2734, gaining 0.24%.
The pair was likely to find support at 1.2660, Tuesday’s low and a two-month low and resistance at 1.2779, the high of November 8.
The euro was boosted by speculation that Spain is moving closer to requesting a bailout from its euro zone partners.
The euro was also supported after German newspaper Bild reported Tuesday that Greece could receive three bailout installments in one single payment of EUR44 billion, citing German government sources.
The euro was higher against the greenback earlier after Italy saw borrowing costs fall to the lowest level since October 2010 at an auction of three-year government bonds.
But concerns that the economic outlook for the euro zone is worsening were underlined after official data showed that industrial production in the bloc tumbled 2.5% in September, compared to expectations for a 1.9% decline.
In the U.S., official data showed that retail sales fell by 0.3% in October, disappointing expectations for a 0.2% decline, while core retail sales, which exclude automobile sales, were flat last month.
A separate report showed that producer price inflation in the U.S. fell unexpectedly in October, while core prices also dipped.
The euro was also higher against the pound and the broadly weaker yen, with EUR/GBP up 0.31% to0.8028 and EUR/JPY jumping 1.29% to 102.11.
Later Wednesday, the Federal Reserve was to publish the minutes of its most recent policy-setting meeting.
EUR/USD hit 1.2756 during European afternoon trade, the pair’s highest since November 9; the pair subsequently consolidated at 1.2734, gaining 0.24%.
The pair was likely to find support at 1.2660, Tuesday’s low and a two-month low and resistance at 1.2779, the high of November 8.
The euro was boosted by speculation that Spain is moving closer to requesting a bailout from its euro zone partners.
The euro was also supported after German newspaper Bild reported Tuesday that Greece could receive three bailout installments in one single payment of EUR44 billion, citing German government sources.
The euro was higher against the greenback earlier after Italy saw borrowing costs fall to the lowest level since October 2010 at an auction of three-year government bonds.
But concerns that the economic outlook for the euro zone is worsening were underlined after official data showed that industrial production in the bloc tumbled 2.5% in September, compared to expectations for a 1.9% decline.
In the U.S., official data showed that retail sales fell by 0.3% in October, disappointing expectations for a 0.2% decline, while core retail sales, which exclude automobile sales, were flat last month.
A separate report showed that producer price inflation in the U.S. fell unexpectedly in October, while core prices also dipped.
The euro was also higher against the pound and the broadly weaker yen, with EUR/GBP up 0.31% to0.8028 and EUR/JPY jumping 1.29% to 102.11.
Later Wednesday, the Federal Reserve was to publish the minutes of its most recent policy-setting meeting.