Investing.com - The euro regained ground against its major counterparts on Thursday after better-than-expected German business confidence data but the shared currency remained vulnerable amid fears over debt contagion to core economies.
During European morning trade, the euro was slightly higher against the U.S. dollar, with EUR/USD rising 0.18% to hit 1.3365.
The euro found support after German research institute Ifo said its Business Climate Index rose to a seasonally adjusted 106.6 in November from 106.4 the previous month.
Analysts had expected the index to fall to 105.5.
The data indicated that the euro zone’s largest economy is coping with the region’s debt crisis better than experts had feared.
Market sentiment was hit on Wednesday after the least successful German bond sale since the launch of the single currency sparked concerns that Germany’s safe haven status could be threatened.
Later Thursday, German, French and Italian leaders were to meet to discuss ways to deal with the euro zone’s worsening financial troubles.
The euro was also higher against the pound, with EUR/GBP adding 0.28% to hit 0.8618.
In the U.K., revised data showed that gross domestic product expanded by 0.5% in the third quarter and was up 0.5% on the year, in line with initial estimates earlier this month and with economists' forecasts.
The single currency was almost unchanged against the yen and the Swiss franc, with EUR/JPY dipping 0.02% to hit 103.1 and EUR/CHF easing up 0.07% to hit 1.2284.
Earlier in the day, Switzerland’s President Micheline Calmy-Rey said the overvaluation of the franc posed a serious threat to the economy and carried the risk of deflation and added that the Swiss National Bank was committed to “a substantial and lasting weakening of the franc."
Elsewhere, the euro was lower against the Canadian, Australian and New Zealand dollars, with EUR/CAD dipping 0.06% to hit 1.3982, EUR/AUD shedding 0.44% to hit 1.3711 and EUR/NZD sliding 0.18% to hit 1.7994.
In Australia, central bank Governor Glenn Stevens defended the bank's policy decisions over the past year earelier, saying they were the right calls, but said more time is needed to see if he is right.
The Reserve Bank of Australia cut rates in November, despite the country experiencing the biggest commodity price boom in a decade.
Elsewhere Thursday, markets in the U.S. were to remain closed for Thanksgiving.
During European morning trade, the euro was slightly higher against the U.S. dollar, with EUR/USD rising 0.18% to hit 1.3365.
The euro found support after German research institute Ifo said its Business Climate Index rose to a seasonally adjusted 106.6 in November from 106.4 the previous month.
Analysts had expected the index to fall to 105.5.
The data indicated that the euro zone’s largest economy is coping with the region’s debt crisis better than experts had feared.
Market sentiment was hit on Wednesday after the least successful German bond sale since the launch of the single currency sparked concerns that Germany’s safe haven status could be threatened.
Later Thursday, German, French and Italian leaders were to meet to discuss ways to deal with the euro zone’s worsening financial troubles.
The euro was also higher against the pound, with EUR/GBP adding 0.28% to hit 0.8618.
In the U.K., revised data showed that gross domestic product expanded by 0.5% in the third quarter and was up 0.5% on the year, in line with initial estimates earlier this month and with economists' forecasts.
The single currency was almost unchanged against the yen and the Swiss franc, with EUR/JPY dipping 0.02% to hit 103.1 and EUR/CHF easing up 0.07% to hit 1.2284.
Earlier in the day, Switzerland’s President Micheline Calmy-Rey said the overvaluation of the franc posed a serious threat to the economy and carried the risk of deflation and added that the Swiss National Bank was committed to “a substantial and lasting weakening of the franc."
Elsewhere, the euro was lower against the Canadian, Australian and New Zealand dollars, with EUR/CAD dipping 0.06% to hit 1.3982, EUR/AUD shedding 0.44% to hit 1.3711 and EUR/NZD sliding 0.18% to hit 1.7994.
In Australia, central bank Governor Glenn Stevens defended the bank's policy decisions over the past year earelier, saying they were the right calls, but said more time is needed to see if he is right.
The Reserve Bank of Australia cut rates in November, despite the country experiencing the biggest commodity price boom in a decade.
Elsewhere Thursday, markets in the U.S. were to remain closed for Thanksgiving.