Investing.com – The euro edged higher against the broadly weaker U.S. dollar on Wednesday, rising to a fresh 16-month high, amid uncertainty over the outcome of a critical Federal Reserve policy meeting later in the day.
EUR/USD hit 1.4713 during late Asian trade, the pair’s highest since December 11, 2009; the pair subsequently consolidated at 1.4677, rising 0.23%.
The pair was likely to find support at 1.4492, Tuesday’s low and resistance at 1.4866, the high of December 8, 2009.
The U.S. central bank was to conclude its two-day policy meeting later Wednesday. The meeting was to be followed by the first-ever post-meeting press conference by Federal Reserve Chairman Ben Bernanke.
The Fed was expected offer no indication of an immediate plan to tighten the bank's policy but it was expected to stick to its plan to complete its USD600 billion quantitative easing program in June.
The euro was also higher against the pound, with EUR/GBP easing up 0.10% to hit 0.8894.
Later in the day, the euro zone was to release preliminary data on German consumer price inflation as well as data on industrial new orders. Meanwhile, the U.S. was to publish official data on durable goods orders, while the Fed was to announce its federal funds rate.
EUR/USD hit 1.4713 during late Asian trade, the pair’s highest since December 11, 2009; the pair subsequently consolidated at 1.4677, rising 0.23%.
The pair was likely to find support at 1.4492, Tuesday’s low and resistance at 1.4866, the high of December 8, 2009.
The U.S. central bank was to conclude its two-day policy meeting later Wednesday. The meeting was to be followed by the first-ever post-meeting press conference by Federal Reserve Chairman Ben Bernanke.
The Fed was expected offer no indication of an immediate plan to tighten the bank's policy but it was expected to stick to its plan to complete its USD600 billion quantitative easing program in June.
The euro was also higher against the pound, with EUR/GBP easing up 0.10% to hit 0.8894.
Later in the day, the euro zone was to release preliminary data on German consumer price inflation as well as data on industrial new orders. Meanwhile, the U.S. was to publish official data on durable goods orders, while the Fed was to announce its federal funds rate.