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Forex - EUR/USD trims losses, retreating from 5-day low

Published 10/12/2010, 11:50 AM
EUR/USD
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EUR/GBP
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Investing.com - The euro trimmed losses against the U.S. dollar on Tuesday, retreating from a 5-day low as sentiment on the U.S. dollar weakened ahead of the release of minutes from the Federal Reserves last policy setting meeting.

EUR/USD retreated from 1.3774 the pair’s lowest since October 5, to hit 1.3857 during late European trade, shedding 0.17%.

The pair was likely to find short-term support at 1.3636, the low of October 5 and resistance at 1.4028, the high of October 7.

In their September 21 rate statement, Fed policy makers expressed concern over continuing low levels of inflation and high unemployment, triggering speculation that the bank would begin a fresh round of monetary easing to stimulate the U.S. economy.

Later in the day, the Fed was to publish the minutes of its September 21 meeting of the Federal Open Market Committee.

Meanwhile, the euro was up against the pound, with EUR/GBP gaining 0.32% to hit 0.8767.

Also Tuesday, European Central Bank President, Jean-Claude Trichet was to scheduled to speak at an engagement in New York.

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