Investing.com - The euro ticked up and down between small gains and losses against the U.S. dollar on Monday, as market participants digested the implications of Friday’s Greek debt swap deal and upbeat U.S. jobs data.
EUR/USD hit 1.3135 during European afternoon trade, the session high; the pair subsequently consolidated at 1.3108, slipping 0.11%.
The pair was likely to find support at 1.3043, the low of February 15 and resistance at 1.3240, the high of March 5.
The euro remained under pressure after the International Swaps and Derivatives Association said Friday that Greece’s debt swap with private creditors constituted a “credit event”, which would activate credit-default swaps, designed to protect investors against losses on Greek sovereign debt.
Market sentiment was also subdued after official data showed that China posted the largest trade deficit in 12 years in February, as exports declined.
Meanwhile, the greenback remained supported as Friday’s robust U.S. employment data dampened expectations for a fresh round of asset purchases by the Federal Reserve to help stimulate economic growth.
The Department of Labor said the U.S. economy added 227,000 jobs in February, beating expectations for a 210,000 gain. The unemployment rate held steady at a three year low of 8.3%.
The euro was higher against the pound but weakened against the yen, with EUR/GBP rising 0.24% to hit 0.8391 and EUR/JPY shedding 0.49% to hit 107.69.
Later in the day, euro zone finance ministers were to hold talks in Brussels, to give their final approval to a EUR130 billion bailout for Greece.
The ministers were also likely to discuss Spain, after Prime Minister Mariano Rajoy announced earlier this month that the country would cut its deficit to 5.8% of gross domestic product, instead of the planned 4.4% in 2012.
EUR/USD hit 1.3135 during European afternoon trade, the session high; the pair subsequently consolidated at 1.3108, slipping 0.11%.
The pair was likely to find support at 1.3043, the low of February 15 and resistance at 1.3240, the high of March 5.
The euro remained under pressure after the International Swaps and Derivatives Association said Friday that Greece’s debt swap with private creditors constituted a “credit event”, which would activate credit-default swaps, designed to protect investors against losses on Greek sovereign debt.
Market sentiment was also subdued after official data showed that China posted the largest trade deficit in 12 years in February, as exports declined.
Meanwhile, the greenback remained supported as Friday’s robust U.S. employment data dampened expectations for a fresh round of asset purchases by the Federal Reserve to help stimulate economic growth.
The Department of Labor said the U.S. economy added 227,000 jobs in February, beating expectations for a 210,000 gain. The unemployment rate held steady at a three year low of 8.3%.
The euro was higher against the pound but weakened against the yen, with EUR/GBP rising 0.24% to hit 0.8391 and EUR/JPY shedding 0.49% to hit 107.69.
Later in the day, euro zone finance ministers were to hold talks in Brussels, to give their final approval to a EUR130 billion bailout for Greece.
The ministers were also likely to discuss Spain, after Prime Minister Mariano Rajoy announced earlier this month that the country would cut its deficit to 5.8% of gross domestic product, instead of the planned 4.4% in 2012.