Forexpros – The euro edged higher against the U.S. dollar on Tuesday, amid hopes for progress in resolving the debt crisis in the euro zone, ahead of a meeting of European Union finance ministers later in the day.
EUR/USD hit 1.3374 during late Asian trade, the daily high; the pair subsequently consolidated at 1.3349, gaining 0.22%.
The pair was likely to find support at 1.3272, Monday’s low and short-term resistance at 1.3410, the high of November 24.
Euro zone finance ministers were to meet later Tuesday to approve plans to enlarge the scope of the region’s bailout fund, the European Financial Stability Facility. The ministers were also expected to sign off on Greece’s next tranche of financial aid.
In late October, euro zone leaders agreed to leverage the EUR440 billion EFSF to EUR1 trillion as part of a comprehensive agreement to resolve the debt crisis.
Elsewhere, ratings agency Fitch downgraded its credit outlook for the U.S. to negative, saying there was “considerable uncertainty surrounding the economy’s potential output.”
The euro was also higher against the pound, with EUR/GBP rising 0.19% to hit 0.8602.
Also Tuesday, the U.S. was to release industry data on house price inflation as well as a report on consumer confidence.
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