Forex
The euro rose to two-week highs against the U.S. dollar on Thursday, after the release of upbeat data from Spain and Germany, while the Federal Reserve’s most recent policy statement weighed on the greenback.
EUR/USD hit 1.1119 during European morning trade, the pair’s highest since Ju;y 15; the pair subsequently consolidated at 1.1110, gaining 0.46%.
The pair was likely to find support at 1.1035, the low of July 18 and resistance at 1.1150, the high of July 15.
Data earlier showed that the number of unemployed people in Germany declined by 7,000 in July, compared to expectations for a 3,000 drop and after a 6,000 slide the previous month.
Germany’s unemployment rate remained unchanged at 6.1% this month, in line with expectations.
A separate report showed that Spain’s unemployment rate ticked down to 20.00% in the second quarter from 21.00% in the previous quarter, compared to expectations for a slip to 20.40%.
In the U.S., the Fed left interest rates unchanged at the conclusion of its two-day policy meeting on Wednesday, in a widely expected move.
In its monthly policy statement, the Fed said that “near-term risks to the economic outlook have diminished” and that the labor market has “strengthened”.
The upbeat outlook fuelled speculation over a rate hike by the U.S. central bank before the end of the year.
The euro was also higher against the pound, with EUR/GBP climbing 0.55% to 0.8409.
Source Investing.com
