Investing.com - The euro edged higher against the dollar on Tuesday, but gains looked likely to remain limited ahead of Wednesday’s Federal Reserve minutes and testimony on the economy by Fed Chairman Ben Bernanke.
EUR/USD hit 1.2904 during late Asian trade, the pair’s highest since May 16; the pair subsequently consolidated at 1.2887, easing up 0.03%.
The pair was likely to find support at 1.2818, Monday’s low and resistance at 1.2928, the high of May 16.
Investors remained cautious ahead of Bernanke’s testimony at the U.S. Joint Economic Committee and the minutes of the Fed’s most recent policy meeting, both due Wednesday.
Markets were awaiting any indication that the U.S. central bank will begin to scale back its asset purchase program this year after recent economic data bolstered optimism over the economic recovery.
The euro edged higher against the pound, with EUR/GBP easing up 0.07% to 0.8450 and gained ground against the yen, with EUR/JPY climbing 0.32% to 132.18.
The yen turned lower against the euro and the dollar on Tuesday after Japanese government officials said policymakers are prepared for further yen weakness. The comments came after Japan’s economy minister said Sunday that many believed the yen’s correction from excessive strength was almost over.
EUR/USD hit 1.2904 during late Asian trade, the pair’s highest since May 16; the pair subsequently consolidated at 1.2887, easing up 0.03%.
The pair was likely to find support at 1.2818, Monday’s low and resistance at 1.2928, the high of May 16.
Investors remained cautious ahead of Bernanke’s testimony at the U.S. Joint Economic Committee and the minutes of the Fed’s most recent policy meeting, both due Wednesday.
Markets were awaiting any indication that the U.S. central bank will begin to scale back its asset purchase program this year after recent economic data bolstered optimism over the economic recovery.
The euro edged higher against the pound, with EUR/GBP easing up 0.07% to 0.8450 and gained ground against the yen, with EUR/JPY climbing 0.32% to 132.18.
The yen turned lower against the euro and the dollar on Tuesday after Japanese government officials said policymakers are prepared for further yen weakness. The comments came after Japan’s economy minister said Sunday that many believed the yen’s correction from excessive strength was almost over.