Investing.com – The euro extended earlier losses against the U.S. dollar on Tuesday, tumbling to a fresh 5-week low after the European Council's president said that the European Union was facing a "survival crisis".
EUR/USD hit 1.3536 during European afternoon trade, the pair’s lowest since September 28; the pair subsequently consolidated at 1.3554, shedding 0.23%.
The pair was likely to find support at 1.3435, the low of September 27 and resistance at 1.3749, Monday’s high.
Earlier in the day, European Council President Herman Van Rompuy said that the future of the 27-nation EU was at stake amid the current sovereign debt problems.
"We are in a survival crisis," he told the European Policy Centre. "We all have to work together in order to survive with the euro zone because if we don't survive with the euro zone, we will not survive with the European Union."
The European Central Bank and some euro zone counterparts have put Ireland under pressure to take a quick decision on applying for funds from the European Financial Stability Facility amid signs that market contagion is spreading Portugal and is beginning to affect Spain.
However Dublin has resisted pressure to seek a bailout, saying that only its banks need help.
Meanwhile, the euro was up against the pound with EUR/GBP rising 0.64% to hit 0.8518.
Also Tuesday, official data showed that U.S. producer price inflation rose less-than-expected in October, while core PPI, which excludes food and energy costs fell unexpectedly to hit a 4-year low. Elsewhere, a separate report said that U.S. industrial production was unexpectedly flat at in October.
EUR/USD hit 1.3536 during European afternoon trade, the pair’s lowest since September 28; the pair subsequently consolidated at 1.3554, shedding 0.23%.
The pair was likely to find support at 1.3435, the low of September 27 and resistance at 1.3749, Monday’s high.
Earlier in the day, European Council President Herman Van Rompuy said that the future of the 27-nation EU was at stake amid the current sovereign debt problems.
"We are in a survival crisis," he told the European Policy Centre. "We all have to work together in order to survive with the euro zone because if we don't survive with the euro zone, we will not survive with the European Union."
The European Central Bank and some euro zone counterparts have put Ireland under pressure to take a quick decision on applying for funds from the European Financial Stability Facility amid signs that market contagion is spreading Portugal and is beginning to affect Spain.
However Dublin has resisted pressure to seek a bailout, saying that only its banks need help.
Meanwhile, the euro was up against the pound with EUR/GBP rising 0.64% to hit 0.8518.
Also Tuesday, official data showed that U.S. producer price inflation rose less-than-expected in October, while core PPI, which excludes food and energy costs fell unexpectedly to hit a 4-year low. Elsewhere, a separate report said that U.S. industrial production was unexpectedly flat at in October.