Forexpros – The euro pushed higher against the U.S. dollar on Wednesday, lifted by expectations that this week’s European Union summit may result in a breakthrough on the region’s debt crisis and ahead of Thursday’s European Central Bank meeting.
EUR/USD hit 1.3453 during late Asian trade, the pair’s highest since Monday; the pair subsequently consolidated at 1.3443, gaining 0.31%.
The pair was likely to find support at 1.3332, Tuesday’s low and resistance at 1.3520, the high of December 1.
European leaders are to discuss proposed changes to EU treaties which would allow for greater fiscal integration and stricter enforcement of budgetary discipline in the single currency bloc, clearing the way for the ECB to play a bigger role in stabilizing euro zone bond markets.
The euro was also supported by speculation that the ECB may cut interest rates by 0.25% to 1% at it policy-setting meeting on Thursday.
Meanwhile, the euro was also higher against the pound, with EUR/GBP easing up 0.11% to hit 0.8601.
Later Wednesday, Germany was to produce government data on industrial production.
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