Investing.com - The euro slid lower against the U.S. dollar on Tuesday, ahead of the release of U.S. data on consumer confidence as concerns over Spain’s high borrowing costs in the run-up to Friday’s budget statement weighed.
EUR/USD hit 1.3320 during European afternoon trade, the session low; the pair subsequently consolidated at 1.3339, sliding 0.15%.
The pair was likely to find support at 1.3191, Monday’s low and resistance at 1.3384, the session high and a one-month high.
The dollar firmed up against the euro after weakening broadly on Monday, as dovish comments by Federal Reserve Chairman Ben Bernanke fanned speculation over the possibility of a third round of easing from the central bank.
Meanwhile, sentiment on the euro was dented earlier after an index of consumer climate for Germany fell unexpectedly in March, ticking down to 5.9 from 6.0 the previous month.
Analysts had expected the index to rise to 6.2 in March.
Concerns over Spanish borrowing costs lingered ahead of the country’s budget statement on Friday, amid concerns that the government will pull back on imposing harsh austerity measures in the face of a looming recession.
Earlier Tuesday, Eurogroup chairman Olli Rehn said that euro zone finance ministers would reach an agreement on the size of the bailout fund for indebted countries at a meeting to be held in Copenhagen on Friday.
The euro was also lower against the pound, with EUR/GBP shedding 0.23% to hit 0.8345, but pushed higher against the yen, with EUR/JPY adding 0.21% to hit 110.87.
Later in the day, Fed Chair Ben Bernanke was to speak at a public engagement. In addition the U.S. was to release a closely watched report on consumer confidence, as well as industry data on house price inflation.
EUR/USD hit 1.3320 during European afternoon trade, the session low; the pair subsequently consolidated at 1.3339, sliding 0.15%.
The pair was likely to find support at 1.3191, Monday’s low and resistance at 1.3384, the session high and a one-month high.
The dollar firmed up against the euro after weakening broadly on Monday, as dovish comments by Federal Reserve Chairman Ben Bernanke fanned speculation over the possibility of a third round of easing from the central bank.
Meanwhile, sentiment on the euro was dented earlier after an index of consumer climate for Germany fell unexpectedly in March, ticking down to 5.9 from 6.0 the previous month.
Analysts had expected the index to rise to 6.2 in March.
Concerns over Spanish borrowing costs lingered ahead of the country’s budget statement on Friday, amid concerns that the government will pull back on imposing harsh austerity measures in the face of a looming recession.
Earlier Tuesday, Eurogroup chairman Olli Rehn said that euro zone finance ministers would reach an agreement on the size of the bailout fund for indebted countries at a meeting to be held in Copenhagen on Friday.
The euro was also lower against the pound, with EUR/GBP shedding 0.23% to hit 0.8345, but pushed higher against the yen, with EUR/JPY adding 0.21% to hit 110.87.
Later in the day, Fed Chair Ben Bernanke was to speak at a public engagement. In addition the U.S. was to release a closely watched report on consumer confidence, as well as industry data on house price inflation.