September 1, 2016

EUR/USD edges up but remains under pressu

The dollar found support on Tuesday after the Conference Board said its index of consumer confidence rose to 92.4 this month, the highest since October 2007, from a reading of 90.3 in July.

The data fuelled further optimism over the strength of the U.S. economic reco

The euro edged up against the U.S. dollar on Wednesday, easing off 11-month lows as investors locked in profits from the greenback’s recent rally, although downbeat German data released earlier in the day continued to weigh.EUR/USD hit 1.3189 during European afternoon trade, the session high; the pair subsequently consolidated at 1.3181, adding 0.11%.

The pair was likely to find support at 1.3153, the session low and an 11-month low and resistance at 1.3243, the high of August 24.


Last week, Federal Reserve Chair Janet Yellen said at Jackson Hole that the U.S. economy is recovering and added the labor market is improving as well.


The weak data added to speculation that the ECB could implement fresh easing measures to bolster growth, after ECB President Mario Draghi said at Jackson Hole last week that the central bank is ready to take more unconventional action if needed to stimulate a sluggish euro zone economy.

The single currency was lower against the pound, with EUR/GBP shedding 0.23% to 0.7943.