Investing.com – The euro ticked lower against the U.S. dollar on Wednesday, with the pair trading in a narrow band after the release of a raft of better-than-expected U.S. economic data and ahead of a critical announcement by the Federal Reserve.
EUR/USD hit 1.3992 during European afternoon trade, the daily low; the pair subsequently consolidated at 1.4014, shedding 0.13%.
The pair was likely to find support at 1.3881, Tuesday’s low and resistance at 1.4157, the high of October 15.
Earlier in the day, the U.S. Institute of Supply Management said its non-manufacturing purchasing manager's index rose for the tenth consecutive month in October, climbing to 54.3 after rising to 53.2 in September. Analysts had expected the index to rise to 53.6 in October.
Elsewhere in a separate report, U.S. payroll processing firm ADP said non-farm private employment rose by a seasonally adjusted 43K in October, after falling by a revised 2K in September. Analysts had expected non-farm private sector employment to increase by 25K in October.
The better-than-expected data could result in some upward revisions to expectations for Friday's U.S. non-farm payrolls report.
The euro was also down against the pound, with EUR/GBP shedding 0.30% to hit 0.8719.
Later Wednesday, the U.S. Federal Reserve was to make its November rate statement. The announcement was widely expected to unveil a fresh round of Treasury bond purchases designed to support the U.S. economic recovery.
EUR/USD hit 1.3992 during European afternoon trade, the daily low; the pair subsequently consolidated at 1.4014, shedding 0.13%.
The pair was likely to find support at 1.3881, Tuesday’s low and resistance at 1.4157, the high of October 15.
Earlier in the day, the U.S. Institute of Supply Management said its non-manufacturing purchasing manager's index rose for the tenth consecutive month in October, climbing to 54.3 after rising to 53.2 in September. Analysts had expected the index to rise to 53.6 in October.
Elsewhere in a separate report, U.S. payroll processing firm ADP said non-farm private employment rose by a seasonally adjusted 43K in October, after falling by a revised 2K in September. Analysts had expected non-farm private sector employment to increase by 25K in October.
The better-than-expected data could result in some upward revisions to expectations for Friday's U.S. non-farm payrolls report.
The euro was also down against the pound, with EUR/GBP shedding 0.30% to hit 0.8719.
Later Wednesday, the U.S. Federal Reserve was to make its November rate statement. The announcement was widely expected to unveil a fresh round of Treasury bond purchases designed to support the U.S. economic recovery.