Investing.com - The euro re-approached nine month lows against the dollar on Tuesday as upbeat U.S. housing data continued to support the greenback and concerns over the outlook for the euro zone economy pressures the single currency lower.
EUR/USD slipped 0.09% to 1.3350, not far from the nine month low of 1.3332 struck on August 8.
The pair was likely to find support at around the 1.33 level and resistance at 1.34.
The dollar was boosted after a report on Monday showed that U.S. home builder sentiment rose unexpectedly in August, pointing to underlying strength in the housing market.
The NAHB/Wells Fargo Housing Market index hit a seven-month high of 55, compared to expectations of an unchanged reading.
The euro remained under pressure after data last week showed that the euro zone economy stagnated in the second quarter, adding to fears that the recovery in the region is running out of steam.
The weak data added to pressure on the European Central Bank to implement fresh measure to shore up growth after it cut rates to record lows in June.
The euro was also lower against the yen, with EUR/JPY sliding 0.11% to 136.89 from 137.05 late Monday.
Elsewhere Tuesday, the dollar was steady against the yen, with USD/JPY at 102.56.
Investors were looking ahead to U.S. inflation data later in the day for further indications on the possible future path of monetary policy.