Investing.com - The euro was mixed to lower against its major counterparts on Tuesday, as uncertainty over talks aimed at restructuring Greek debt weighed but stronger-than-expected euro zone PMI data and a successful Spanish government debt auction lent support.
During European late morning trade, the euro was almost unchanged against the U.S. dollar, with EUR/USD dipping 0.01% to hit 1.3012.
On Monday, European Union finance ministers rejected demands by Greece’s creditors that new bonds to be issued in exchange for their existing Greek holdings will carry an interest rate of 4%, prolonging negotiations on the issue.
The euro was boosted earlier after preliminary data showed that manufacturing activity in the single currency bloc rose at the fastest pace since August this month, easing concerns over the impact of the region’s debt crisis on the economy.
Service sector activity in the euro zone accelerated to a five-month high in January.
However, a separate report showed that industrial new orders in the euro zone declined in November, albeit at a slower pace than expected.
Elsewhere, Spain auctioned EUR2.51 billion of short-term government debt earlier, in an auction which met with robust investor demand at sharply lower yields.
The auction came one day after the Bank of Spain said it expects the economy to contract by 1.5% this year and grow just 0.2% in 2013.
The shared currency dipped against the pound but gained against the safe haven yen, with EUR/GBP inching down 0.02% to hit 0.8358 and EUR/JPY adding 0.37% to hit 100.60.
In the U.K., official data showed that public sector net borrowing rose less-than-expected in December, but total outstanding debt rose above GBP1 trillion for the first time on record.
The Bank of Japan left interest rates unchanged earlier and revised down its outlook for growth in this fiscal year and the next, citing the ongoing financial crisis in Europe as a key downside risk to the global economy.
Elsewhere, the euro was steady against the Swiss franc, with EUR/CHF dipping 0.05% to hit 1.2064.
The euro pulled away from recent record lows against the Australian and New Zealand dollars, with EUR/AUD rising 0.53% to hit 1.2432 and EUR/NZD climbing 0.18% to hit 1.6093.
The euro was also higher against the Canadian dollar, with EUR/CAD adding 0.34% to hit 1.3167.
EU finance ministers were to continue to hold discussions in Brussels throughout the day.
During European late morning trade, the euro was almost unchanged against the U.S. dollar, with EUR/USD dipping 0.01% to hit 1.3012.
On Monday, European Union finance ministers rejected demands by Greece’s creditors that new bonds to be issued in exchange for their existing Greek holdings will carry an interest rate of 4%, prolonging negotiations on the issue.
The euro was boosted earlier after preliminary data showed that manufacturing activity in the single currency bloc rose at the fastest pace since August this month, easing concerns over the impact of the region’s debt crisis on the economy.
Service sector activity in the euro zone accelerated to a five-month high in January.
However, a separate report showed that industrial new orders in the euro zone declined in November, albeit at a slower pace than expected.
Elsewhere, Spain auctioned EUR2.51 billion of short-term government debt earlier, in an auction which met with robust investor demand at sharply lower yields.
The auction came one day after the Bank of Spain said it expects the economy to contract by 1.5% this year and grow just 0.2% in 2013.
The shared currency dipped against the pound but gained against the safe haven yen, with EUR/GBP inching down 0.02% to hit 0.8358 and EUR/JPY adding 0.37% to hit 100.60.
In the U.K., official data showed that public sector net borrowing rose less-than-expected in December, but total outstanding debt rose above GBP1 trillion for the first time on record.
The Bank of Japan left interest rates unchanged earlier and revised down its outlook for growth in this fiscal year and the next, citing the ongoing financial crisis in Europe as a key downside risk to the global economy.
Elsewhere, the euro was steady against the Swiss franc, with EUR/CHF dipping 0.05% to hit 1.2064.
The euro pulled away from recent record lows against the Australian and New Zealand dollars, with EUR/AUD rising 0.53% to hit 1.2432 and EUR/NZD climbing 0.18% to hit 1.6093.
The euro was also higher against the Canadian dollar, with EUR/CAD adding 0.34% to hit 1.3167.
EU finance ministers were to continue to hold discussions in Brussels throughout the day.