Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Forex - EUR/USD trims losses after mixed U.S. economic data

Published 10/18/2010, 09:29 AM
EUR/USD
-
EUR/GBP
-
Investing.com – The euro trimmed losses against the U.S. dollar on Monday, retreating from a 4-day low following the release of a flurry of mixed U.S. economic data.

EUR/USD retreated from 1.3830, the pair’s lowest since October 12 to hit 1.3934 during European afternoon trade, shedding 0.30%.

The pair was likely to find support at 1.3636, the low of October 5 and resistance at 1.4155, last Friday’s high and a 10-month high.

Earlier in the day, official data showed that U.S. Treasury International Capital purchases rose unexpectedly in August.

In a report, the U.S. Department of the Treasury said that net foreign purchases of long-term securities were USD 128.7 billion in August, after rising to a revised USD 61.2 billion in July. Economists had expected purchases of long-term securities to decrease to USD 47.5 billion in August.

Meanwhile, a separate report showed that industrial production in the U.S. fell unexpectedly in September, while the capacity utilization rate remained unchanged, in line with expectations, during the month.

Meanwhile, the euro was up against the pound, with EUR/GBP gaining 0.25% to hit 0.8764.

On Sunday, European Central Bank president Jean-Claude Trichet distanced himself from comments made on ECB monetary policy by council member Axel Weber last week.  Weber said that the risk of recession in Europe was negligible and that the central bank's bond purchase program should be phased out.

Trichet said that the governing board as a whole did not agree with that view.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.