Investing.com - The euro pushed higher against the dollar on Tuesday as investors remained focused on whether the Federal Reserve will begin to unwind its easing policies later this year.
EUR/USD hit 1.3292 during late Asian trade, the pair’s highest since June 6; the pair subsequently consolidated at 1.3267, easing up 0.09%.
The pair was likely to find support at 1.3176, Monday’s low and resistance at 1.3305, the high of June 6 and a three month high.
Speculation that the U.S. central bank will begin to taper its asset purchase program continued following last week’s upbeat U.S. jobs data and after ratings agency Standard & Poor’s revised its long-term outlook on the U.S. credit rating to stable from negative on Monday, citing an improving economic outlook.
Elsewhere, the euro was lower against the yen, with EUR/JPY down 0.24% to 130.57.
The yen strengthened on Tuesday following falls in Japanese equities overnight after the Bank of Japan disappointed expectations for measures to curb market volatility.
The BoJ kept monetary policy unchanged following its policy meeting and said that the economy was picking up, one day after data showed that the economy expanded by an annualized 4.1% in the first quarter, up from a preliminary reading of 3.5%.
The single currency was fractionally higher against the pound, with EUR/GBP edging up 0.05% to 0.8515.
Later Tuesday, Germany’s Constitutional Court was to announce the results of a ruling on the constitutionality of the European Central Bank’s bond buying scheme.
