Forexpros – The euro was slightly lower against the U.S. dollar on Thursday, as investors eyed the outcome of the European Central Bank’s policy setting meeting later in the day.
EUR/USD hit 1.3312 during late Asian trade, the daily low; the pair subsequently consolidated at 1.3329, sliding 0.14%.
The pair was likely to find support at 1.3144, Tuesday’s low and an eight-and-a-half month low and resistance at 1.3600, the high of September 30.
The ECB was widely expected to leave rates unchanged at 1.5%, amid concerns over consistently high inflation, despite calls for a rate cut to support faltering growth in the single currency bloc.
The euro remained supported after European Union leaders acknowledged that more needed to be done to protect the region’s banks from the escalating financial crisis after France and Belgium agreed to bail out troubled lender Dexia.
The euro was almost unchanged against the pound, with EUR/GBP dipping 0.01% to hit 0.8632.
Later in the day, the ECB President Jean-Claude Trichet was to discuss the bank’s rate decision at a closely watched press conference. Meanwhile, the U.S. was to release its weekly report on initial jobless claims.
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