Forex Pros - The euro rose against the yen on Tuesday, climbing
to a four-day high, ahead of a critical vote of confidence in
Greece's parliament, which would play a large part in determining
the outcome of the country's sovereign debt crisis.
EUR/JPY hit 115.35 during European afternoon trade, the pair's
highest since June 15; the pair subsequently consolidated at
115.15, gaining 0.31%.
The pair was likely to find support at 113.58, Monday's low and
resistance at 116.46, the high of June 15.
Prime Minister George Papandreou needs the confidence vote to pass
in order for his government to secure support for new austerity
measures and qualify for a second tranche of emergency loans from
the European Union and International Monetary Fund, in order to
avert a sovereign debt default.
Earlier in the day, the euro slipped after the ZEW Centre for
Economic Research said its index of German economic sentiment fell
significantly more-than-expected in June, dropping for the fourth
The index fell to -9.0 in June from a reading of 3.1 in May.
Analysts had expected the index to decline to -3.0 in June.
Commenting on the report, ZEW President Wolfgang Franz said,
"Troubles in the euro zone as well as the feared economic downturn
in the U.S. seem to weigh heavily on the mind of the financial
The euro was also higher against the Swiss franc, with EUR/CHF
easing up 0.13% to hit 1.2122.
Also Tuesday, the U.S. was to publish industry data on existing