EURUSD near to its one-week high, January 11 2013


The euro was traded with a little change against the greenback in EURUSD today, reaching its one-week high due to positive Chinese data and as the single currency found support by the hopeful comments by European Central Bank President Mario Draghi from yesterday.

During the early European trade, the currency pair EURUSD hit the level of 1.3249, the session bottom and later on it consolidated at 1.3262.

The pair was EURUSD supposed to meet support at 1.3173, bottom from December 31 and resistance at 1.3308, the highest level from December 19 and a multi-month high.

Market sentiment was influenced after official data released earlier indicated that consumer price inflation in China went up to an annualized rate of 2.5% in December compared to 2.0% in the previous month, removing expectations for a increase of to 2.3%.

At the same time, the euro was traded higher against the pound, with EURGBP reaching the level 0.8216 and against the yen, with EURJPY increase of 0.29% trading at 118.18.

The yen was put under pressure after the Japanese Prime Minister Shinzo Abe uncovered a JPY10.3 trillion stimulus package to end deflation and reinforced the growth.

Besides, official data marked that Japan posted a current account deficit of JPY222.4 billion in November, the first deficit in 10 months and more than the expected JPY3.5 billion deficit.

Later today, America is about to publish the government’s report on the trade balance.

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