Investing.com – The euro surged to a 6-week high against the U.S. dollar on Wednesday, after the Federal Reserve said on Tuesday that the U.S. economic recovery would remain modest in the near term.
EUR/USD hit 1.3313 during late Asian trade, the pair's highest since August 6; the pair subsequently consolidated at 1.3302, gaining 0.27%.
The pair was likely to find support at 1.3057, Tuesday's low and short-term resistance at 1.3333, the high of August 8.
Following Tuesday's policy meeting, Fed officials expressed concern over sluggish U.S. growth and continuing low levels of inflation and indicated they were ready to implement quantitative easing measures if necessary.
In a statement, the bank said that it was "prepared to provide additional accommodation if needed to support the economic recovery and to return inflation, over time, to levels consistent with its mandate."
Meanwhile, the euro was down against the pound, with EUR/GBP shedding 0.13% to hit 0.8479.
Also Tuesday, Spanish Prime Minister José Luis Rodríguez Zapatero declared that the euro zone's sovereign debt crisis had ended saying, "I believe that the debt crisis affecting Spain, and the euro zone in general, has passed."
EUR/USD hit 1.3313 during late Asian trade, the pair's highest since August 6; the pair subsequently consolidated at 1.3302, gaining 0.27%.
The pair was likely to find support at 1.3057, Tuesday's low and short-term resistance at 1.3333, the high of August 8.
Following Tuesday's policy meeting, Fed officials expressed concern over sluggish U.S. growth and continuing low levels of inflation and indicated they were ready to implement quantitative easing measures if necessary.
In a statement, the bank said that it was "prepared to provide additional accommodation if needed to support the economic recovery and to return inflation, over time, to levels consistent with its mandate."
Meanwhile, the euro was down against the pound, with EUR/GBP shedding 0.13% to hit 0.8479.
Also Tuesday, Spanish Prime Minister José Luis Rodríguez Zapatero declared that the euro zone's sovereign debt crisis had ended saying, "I believe that the debt crisis affecting Spain, and the euro zone in general, has passed."