Investing.com – The euro rose to a four-day high against the U.S. dollar on Thursday, as oil and other commodity prices steadied boosting investor demand for higher yielding assets.
EUR/USD hit 1.4306 during late Asian trade, the pair’s highest since May 13; the pair subsequently consolidated at 1.4273, rising 0.17%
The pair was likely to find support at 1.4119, the low of July 17 and resistance at 1.4422, the high of May 11.
The recovery in commodity prices after weeks of heavy selling boosted the single currency, which has been supported by expectations that the European Central Bank would raise rates to keep inflation in check.
On Wednesday, the minutes of the Federal Reserve’s April policy meeting showed some policymakers saw a rise in inflation risks and most preferred to raise interest rates before selling assets when the time came to tighten policy.
However the minutes emphasized that this did not indicate the Fed was ready to start tightening policy any time soon.
The euro was also higher against the pound, with EUR/GBP gaining 0.17% to hit 0.8827.
Later in the day, the U.S. was to publish its weekly report on initial jobless claims as well as industry data on existing home sales and official data on manufacturing activity in Philadelphia.
EUR/USD hit 1.4306 during late Asian trade, the pair’s highest since May 13; the pair subsequently consolidated at 1.4273, rising 0.17%
The pair was likely to find support at 1.4119, the low of July 17 and resistance at 1.4422, the high of May 11.
The recovery in commodity prices after weeks of heavy selling boosted the single currency, which has been supported by expectations that the European Central Bank would raise rates to keep inflation in check.
On Wednesday, the minutes of the Federal Reserve’s April policy meeting showed some policymakers saw a rise in inflation risks and most preferred to raise interest rates before selling assets when the time came to tighten policy.
However the minutes emphasized that this did not indicate the Fed was ready to start tightening policy any time soon.
The euro was also higher against the pound, with EUR/GBP gaining 0.17% to hit 0.8827.
Later in the day, the U.S. was to publish its weekly report on initial jobless claims as well as industry data on existing home sales and official data on manufacturing activity in Philadelphia.