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Forex - EUR/USD steady, near 5-week highs

Published 07/29/2013, 02:31 AM
EUR/USD
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EUR/GBP
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Investing.com - The euro was steady against the U.S. dollar on Monday, hovering near five-week highs as markets eyed the release of U.S. data and as investors remained cautious ahead of upcoming policy statements by the Federal Reserve and the European Central Bank.

EUR/USD hit 1.3274 during late Asian trade, the session low; the pair subsequently consolidated at 1.3275, easing 0.04%.

The pair was likely to find support at 1.3177, the low of July 24 and resistance at 1.3359, the high of June 12 and an almost four-month high.

Markets were jittery after mixed U.S. economic reports last week fuelled further uncertainty over whether the Fed will soon begin to scale back its bond-buying program.

Meanwhile, the euro remained supported after data on Thursday showed that the Ifo index of German business climate ticked up to 106.2 in July from 105.9 In June, slightly better than expectations for a reading of 106.1.

A separate report showed that the euro zone composite purchasing managers’ index rose to 50.4 in the current month from 48.7 in June, sparking optimism that the bloc’s economy could emerge from a recession in the third quarter.

The euro was also steady against the pound with EUR/GBP dipping 0.03%, to hit 0.8629.

Later in the day, the U.S. was to produce industry data on pending home sales.


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