Investing.com - The euro held gains against the U.S. dollar on Tuesday, trading close to a one-month high although the single currency remained under pressure amid sustained concerns over the debt crisis in the euro zone.
EUR/USD hit 1.3278 during European early afternoon trade, the pair’s highest April 3; the pair subsequently consolidated at 1.3255, adding 0.12%.
The pair was likely to find support at 1.3207, the low of April 30 and resistance at 1.3292, the high of March 23.
Sentiment strengthened earlier after official data showed that an index of Chinese manufacturing activity rose to a 13-month high of 53.3 in April from 53.1 the previous month, but the data came in slightly below forecasts for a reading of 53.6.
The data failed however to offset concerns that the U.S. recovery is losing momentum after data on Monday showed that manufacturing activity in the Chicago area slowed significantly more-than-expected in April, while a separate report showed that consumer spending slowed last month.
The euro’s gains were limited by ongoing concerns over the outlook for the single currency bloc, after official data on Monday confirming that Spain’s economy entered a recession in the first quarter sparked fresh fears that austerity measures could impair economic growth in the region.
Market participants were also jittery ahead of weekend elections in Greece and France and the European Central Bank’s policy meeting on Thursday.
Elsewhere, the euro was also higher against the pound with EUR/GBP rising 0.24%, to hit 0.8173.
Later in the day, the U.S. was to release a closely watched report by Institute for Supply Management on manufacturing activity.
EUR/USD hit 1.3278 during European early afternoon trade, the pair’s highest April 3; the pair subsequently consolidated at 1.3255, adding 0.12%.
The pair was likely to find support at 1.3207, the low of April 30 and resistance at 1.3292, the high of March 23.
Sentiment strengthened earlier after official data showed that an index of Chinese manufacturing activity rose to a 13-month high of 53.3 in April from 53.1 the previous month, but the data came in slightly below forecasts for a reading of 53.6.
The data failed however to offset concerns that the U.S. recovery is losing momentum after data on Monday showed that manufacturing activity in the Chicago area slowed significantly more-than-expected in April, while a separate report showed that consumer spending slowed last month.
The euro’s gains were limited by ongoing concerns over the outlook for the single currency bloc, after official data on Monday confirming that Spain’s economy entered a recession in the first quarter sparked fresh fears that austerity measures could impair economic growth in the region.
Market participants were also jittery ahead of weekend elections in Greece and France and the European Central Bank’s policy meeting on Thursday.
Elsewhere, the euro was also higher against the pound with EUR/GBP rising 0.24%, to hit 0.8173.
Later in the day, the U.S. was to release a closely watched report by Institute for Supply Management on manufacturing activity.