Investing.com - The euro was trading close to 11-month highs against the U.S. dollar on Monday, as optimism over the improved economic outlook for the euro zone underpinned demand for the single currency.
EUR/USD hit 1.3404 during European afternoon trade, the pair’s highest since February 29; the pair subsequently consolidated at 1.3350, gaining 0.06%.
The pair was likely to find support at 1.3247, Friday’s low and resistance at 1.3485, the high of February 29.
The euro remained well supported after European Central Bank President Mario Draghi said last week that a gradual recovery in the euro zone economy would begin this year.
The single currency eased back from session highs after official data showed that industrial production in the region fell 0.3% in November, down for the third consecutive month, compared to expectations for a 0.1% increase.
The euro was close to nine-month highs against the pound, with EUR/GBP up 0.54% to 0.8316 and remained steady close to 20-month highs against the yen, with EUR/JPY up 0.10% to 119.11.
Expectations for more aggressive easing measures by the Bank of Japan continued to pin down the yen after Japanese Prime Minister Shinzo Abe called Sunday for the central bank to adopt a 2% targeted inflation rate.
Investors were looking ahead to a speech by Federal Reserve Chairman Ben Bernanke on monetary policy later in the trading day, amid speculation that the Fed chief would quash speculation over an earlier-than-expected end to the central bank’s quantitative easing program.
EUR/USD hit 1.3404 during European afternoon trade, the pair’s highest since February 29; the pair subsequently consolidated at 1.3350, gaining 0.06%.
The pair was likely to find support at 1.3247, Friday’s low and resistance at 1.3485, the high of February 29.
The euro remained well supported after European Central Bank President Mario Draghi said last week that a gradual recovery in the euro zone economy would begin this year.
The single currency eased back from session highs after official data showed that industrial production in the region fell 0.3% in November, down for the third consecutive month, compared to expectations for a 0.1% increase.
The euro was close to nine-month highs against the pound, with EUR/GBP up 0.54% to 0.8316 and remained steady close to 20-month highs against the yen, with EUR/JPY up 0.10% to 119.11.
Expectations for more aggressive easing measures by the Bank of Japan continued to pin down the yen after Japanese Prime Minister Shinzo Abe called Sunday for the central bank to adopt a 2% targeted inflation rate.
Investors were looking ahead to a speech by Federal Reserve Chairman Ben Bernanke on monetary policy later in the trading day, amid speculation that the Fed chief would quash speculation over an earlier-than-expected end to the central bank’s quantitative easing program.