Investing.com - The euro was trading close to one-month highs against the dollar on Thursday, with U.S. markets closed for the Thanksgiving holiday as upbeat German inflation data lent support.
EUR/USD was up 0.20% to 1.3605 from 1.3578 on Wednesday.
The pair was likely to find support at 1.3556, Wednesday’s low and resistance at 1.3645.
The euro found support after preliminary data showed that the annual rate of inflation in Germany accelerated to 1.3% in November, in line with forecasts, from 1.2% in October.
Month-over-month, German consumer prices rose 0.2%, compared to forecasts for a 0.1% gain, after falling by 0.2% in October.
Earlier Thursday, data showed that the number of unemployed people in Germany rose by 10,000 in November, compared to expectations for an increase of 1,000. The country’s unemployment rate was unchanged at 6.9%.
Investors were looking ahead to preliminary euro zone inflation data, due out on Friday, amid expectations that the annual rate of inflation would rise to 0.8% in November, from October’s four year low of 0.7%.
The slowdown in euro zone inflation last month prompted the ECB to cut interest rates to a record low 0.25% at its November meeting.
The euro traded up to four year highs against the broadly weaker yen, with EUR/JPY up 0.26% to 139.06, the highest level since June 2009.
The yen remained broadly lower amid heightened expectations that the Bank of Japan will expand its monetary stimulus program in the coming months in order to meet its target of 2% inflation by 2015.
On Wednesday, BoJ board member Sayuri Shirai raised doubts over whether the inflation target can be met because of downside risks to growth, adding that the bank was open to taking further steps if growth slows.
Elsewhere, the dollar was steady at six month highs against the yen, with USD/JPY edging up 0.05% to 102.20, the highest since May 29.
EUR/USD was up 0.20% to 1.3605 from 1.3578 on Wednesday.
The pair was likely to find support at 1.3556, Wednesday’s low and resistance at 1.3645.
The euro found support after preliminary data showed that the annual rate of inflation in Germany accelerated to 1.3% in November, in line with forecasts, from 1.2% in October.
Month-over-month, German consumer prices rose 0.2%, compared to forecasts for a 0.1% gain, after falling by 0.2% in October.
Earlier Thursday, data showed that the number of unemployed people in Germany rose by 10,000 in November, compared to expectations for an increase of 1,000. The country’s unemployment rate was unchanged at 6.9%.
Investors were looking ahead to preliminary euro zone inflation data, due out on Friday, amid expectations that the annual rate of inflation would rise to 0.8% in November, from October’s four year low of 0.7%.
The slowdown in euro zone inflation last month prompted the ECB to cut interest rates to a record low 0.25% at its November meeting.
The euro traded up to four year highs against the broadly weaker yen, with EUR/JPY up 0.26% to 139.06, the highest level since June 2009.
The yen remained broadly lower amid heightened expectations that the Bank of Japan will expand its monetary stimulus program in the coming months in order to meet its target of 2% inflation by 2015.
On Wednesday, BoJ board member Sayuri Shirai raised doubts over whether the inflation target can be met because of downside risks to growth, adding that the bank was open to taking further steps if growth slows.
Elsewhere, the dollar was steady at six month highs against the yen, with USD/JPY edging up 0.05% to 102.20, the highest since May 29.