By William L. Watts
FRANKFURT (MarketWatch) -- The euro rally continued Wednesday, with the shared currency topping the $1.35 level for the first time since December 2011 and hitting its highest level versus the Japanese yen since April 2010. The euro EURUSD +0.15% traded as high as $1.3516 and changed hands in recent action at $1.3505, up from $1.3490 in North American trade late Tuesday, as traders await data on fourth-quarter U.S. gross domestic product growth and the conclusion of the Federal Reserve's first policy meeting of the new year. The euro fetched 123.20 Japanese yen EURJPY +0.67% , up from 122.57 yen. After breaking above $1.35 the euro "seems unstoppable right now, boosted by euro repatriation, month-end flows, and the fact that the [European Central Bank's] balance sheet is shrinking (at least for now)," wrote strategists at FxPro in London.
