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Forex - Euro slips vs. dollar, stays close to 2-month high

Published 07/14/2010, 02:33 AM
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EUR/GBP
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Investing.com – The euro slipped back against the U.S. dollar on Wednesday, but stayed close to a 2-month high, amid improved risk appetite as concerns about Greece's borrowing costs eased.

EUR/USD hit 1.2716 during late Asian trade, shedding 0.07%, down from Tuesday's high of 1.2738, the pair's highest since May 12.

The pair was likely to find support at 1.2522, Tuesday's low, and resistance at 1.2802, the high of May 11.

The euro made strong gains against the U.S. dollar on Tuesday after Greece sold EUR 1.625 billion of Treasury bills at better rate than it pays to borrow under a joint European Union/International Monetary rescue package.

Earlier Tuesday, the single currency brushed aside news that Moody’s ratings agency downgraded Portugal's credit rating by two notches to A1, citing a growing debt burden and weak prospects for economic growth.

The euro was also down against the pound, with EUR/GBP shedding 0.26% to hit 0.8361.

Later in the day, the euro zone was to publish data on consumer price inflation and industrial production.


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