Investing.com - The euro was lower against the U.S. dollar on Monday, after Italian Prime Minister Mario Monti said that he plans to resign, fuelling concerns that a change in political leadership will hamper the country’s efforts to exit the debt crisis.
EUR/USD hit 1.2888 during late Asian trade, the session low; the pair subsequently consolidated at 1.2895, down 0.24%.
The pair was likely to find support at 1.2824, the low of November 22 and resistance at 1.2973, Friday’s high.
Over the weekend Monti announced that he will resign as soon as he has passed a key budget law, after members of former Prime Minister Silvio Berlusconi’s party withdrew their support for the government.
The announcement came after Silvio Berlusconi said that he intends to run again for prime minister.
The euro also remained under pressure after Germany’s Bundesbank cut its forecast for growth on Friday and warned that the economy could enter a recession as a result of the debt crisis.
The dollar remained supported following Friday’s stronger-than-forecast U.S. jobs report but gains looked likely to remain limited ahead of the upcoming Federal Reserve policy meeting.
The euro was lower against the pound and the yen, with EUR/GBP slipping 0.12% to 0.8046 and EUR/JPY down 0.37% to 106.25.
Later in the day, both France and Italy were to release official data on industrial production.
EUR/USD hit 1.2888 during late Asian trade, the session low; the pair subsequently consolidated at 1.2895, down 0.24%.
The pair was likely to find support at 1.2824, the low of November 22 and resistance at 1.2973, Friday’s high.
Over the weekend Monti announced that he will resign as soon as he has passed a key budget law, after members of former Prime Minister Silvio Berlusconi’s party withdrew their support for the government.
The announcement came after Silvio Berlusconi said that he intends to run again for prime minister.
The euro also remained under pressure after Germany’s Bundesbank cut its forecast for growth on Friday and warned that the economy could enter a recession as a result of the debt crisis.
The dollar remained supported following Friday’s stronger-than-forecast U.S. jobs report but gains looked likely to remain limited ahead of the upcoming Federal Reserve policy meeting.
The euro was lower against the pound and the yen, with EUR/GBP slipping 0.12% to 0.8046 and EUR/JPY down 0.37% to 106.25.
Later in the day, both France and Italy were to release official data on industrial production.