Investing.com - The euro was steady close to three-week lows against the dollar on Tuesday after European Central Bank President Mario Draghi reiterated Monday that the euro’s exchange rate could affect the bank’s inflation outlook.
EUR/USD hit 1.3336 during late Asian trade, the session low; the pair subsequently consolidated at 1.3343, dipping 0.06%.
The pair was likely to find support at 1.3263, the low of January 23 and resistance at 1.3454, the high of February 14.
Draghi said the euro’s exchange rate is not a policy target but that it is important for growth and price stability.
The comments came in testimony to the European Parliament's committee on economic and monetary affairs.
Draghi also said that that Europe "entered 2013 in a more stable financial environment than in recent years", but warned that the economy is still weak following three quarters of contraction and will only recover slowly this year.
Investors also remained wary ahead of the upcoming Italian general elections next week, amid concerns that a hung parliament could hamper ongoing efforts at economic reforms.
Elsewhere, the euro was lower against the pound and the yen, with EUR/GBP slipping 0.14% to 0.8617 and EUR/JPY down 0.57% to 124.73.
The ZEW Institute was to release its closely watched index of German economic sentiment later in the day.
EUR/USD hit 1.3336 during late Asian trade, the session low; the pair subsequently consolidated at 1.3343, dipping 0.06%.
The pair was likely to find support at 1.3263, the low of January 23 and resistance at 1.3454, the high of February 14.
Draghi said the euro’s exchange rate is not a policy target but that it is important for growth and price stability.
The comments came in testimony to the European Parliament's committee on economic and monetary affairs.
Draghi also said that that Europe "entered 2013 in a more stable financial environment than in recent years", but warned that the economy is still weak following three quarters of contraction and will only recover slowly this year.
Investors also remained wary ahead of the upcoming Italian general elections next week, amid concerns that a hung parliament could hamper ongoing efforts at economic reforms.
Elsewhere, the euro was lower against the pound and the yen, with EUR/GBP slipping 0.14% to 0.8617 and EUR/JPY down 0.57% to 124.73.
The ZEW Institute was to release its closely watched index of German economic sentiment later in the day.