Investing.com - The euro was little changed close to a two-month low against the U.S. dollar on Wednesday, as ongoing uncertainty over a delayed bailout payment for Greece and concerns over the economic outlook for the euro zone weighed.
EUR/USD hit 1.2729 during late Asian trade, the session high; the pair subsequently consolidated at 1.2713, inching up 0.08%.
The pair was likely to find support at 1.2660, Tuesday’s low and a two-month low and resistance at 1.2779, the high of November 8.
The euro remained supported after German newspaper Bild reported Tuesday that Greece could receive EUR44 billion of financial aid in one lump sum payment, citing German government sources.
But divisions remained between officials from the International Monetary Fund and Europe on how best to reduce Greece’s debt to manageable levels.
A decision on unlocking the country’s next tranche of aid, worth EUR31.5 billion, has been postponed until 20 November.
Meanwhile, data on Tuesday showing that the closely watched ZEW index of German economic sentiment deteriorated unexpectedly this month continued to weigh, amid fears that the region’s debt crisis is creating a drag on the bloc’s largest economy.
The euro was almost unchanged against the pound, with EUR/GBP inching up 0.01% to 0.8004, but was higher against the broadly weaker yen, with EUR/JPY up 0.68% to 101.51.
The yen came under selling pressure after Japan’s Prime Minister Yoshihiko Noda said earlier that he is willing to dissolve the lower house of parliament on November 16, setting the stage for elections in December.
EUR/USD hit 1.2729 during late Asian trade, the session high; the pair subsequently consolidated at 1.2713, inching up 0.08%.
The pair was likely to find support at 1.2660, Tuesday’s low and a two-month low and resistance at 1.2779, the high of November 8.
The euro remained supported after German newspaper Bild reported Tuesday that Greece could receive EUR44 billion of financial aid in one lump sum payment, citing German government sources.
But divisions remained between officials from the International Monetary Fund and Europe on how best to reduce Greece’s debt to manageable levels.
A decision on unlocking the country’s next tranche of aid, worth EUR31.5 billion, has been postponed until 20 November.
Meanwhile, data on Tuesday showing that the closely watched ZEW index of German economic sentiment deteriorated unexpectedly this month continued to weigh, amid fears that the region’s debt crisis is creating a drag on the bloc’s largest economy.
The euro was almost unchanged against the pound, with EUR/GBP inching up 0.01% to 0.8004, but was higher against the broadly weaker yen, with EUR/JPY up 0.68% to 101.51.
The yen came under selling pressure after Japan’s Prime Minister Yoshihiko Noda said earlier that he is willing to dissolve the lower house of parliament on November 16, setting the stage for elections in December.