Investing.com – The euro trimmed gains against the U.S. dollar on Monday, retreating from a 6-day high, following the release of better-than-expected U.S. data on existing home sales.
EUR/USD retreated from 1.4080, the pair’s highest since October 15, to hit 1.3985 during European afternoon trade, gaining 0.23%.
The pair was likely to find support at 1.3857, Friday’s low and resistance at 1.4157, the high of October 15 and an 8-month high.
Earlier in the day, the National Association of Realtors said that existing home sales rose for the second consecutive month in September, rising to a seasonally adjusted annual rate of 4.53 million units, after rising to a revised 4.12 million units in August. Analysts had expected existing home sales to rise to a seasonally adjusted 4.25 million units in September.
Commenting on the report, Lawrence Yun, chief economist for NAR said, “A housing recovery is taking place, but will be choppy at times depending on the duration and impact of a foreclosure moratorium.”
He added, “the overall direction should be a gradual rising trend in home sales with buyers responding to historically low mortgage interest rates and very favorable affordability conditions".
Meanwhile, the euro was down against the pound, with EUR/GBP shedding 0.23% to hit 0.8875.
Also Monday, official data showed that the euro zone’s industrial new orders rose significantly more-than-expected in August.
EUR/USD retreated from 1.4080, the pair’s highest since October 15, to hit 1.3985 during European afternoon trade, gaining 0.23%.
The pair was likely to find support at 1.3857, Friday’s low and resistance at 1.4157, the high of October 15 and an 8-month high.
Earlier in the day, the National Association of Realtors said that existing home sales rose for the second consecutive month in September, rising to a seasonally adjusted annual rate of 4.53 million units, after rising to a revised 4.12 million units in August. Analysts had expected existing home sales to rise to a seasonally adjusted 4.25 million units in September.
Commenting on the report, Lawrence Yun, chief economist for NAR said, “A housing recovery is taking place, but will be choppy at times depending on the duration and impact of a foreclosure moratorium.”
He added, “the overall direction should be a gradual rising trend in home sales with buyers responding to historically low mortgage interest rates and very favorable affordability conditions".
Meanwhile, the euro was down against the pound, with EUR/GBP shedding 0.23% to hit 0.8875.
Also Monday, official data showed that the euro zone’s industrial new orders rose significantly more-than-expected in August.