Forex Pros - The euro climbed to a two-day high against the yen on Wednesday, amid speculation that the European Central Bank was preparing to buy Greek and Irish bonds, after yields on Portuguese bond soared to record highs.
EUR/JPY hit 115.25 in European afternoon trade, the pair's highest since Monday; the pair subsequently consolidated at 115.14, gaining 0.18%.
The pair was likely to find support at 114.54, Tuesday's low and resistance at 115.98, the high of March 4 and a 10-month high.
Earlier Wednesday, Portugal's government debt agency successfully sold EUR1 billion of two-year bonds at a yield of 5.9%, up from 4.0% at a similar sale in September.
Prior to the sale, the yield on 10-year Portuguese government bonds neared 7.8%, the highest since the launch of the single currency in 1999. The cost of insuring Portuguese debt against non-payment continued to rise following the auction.
Elsewhere, official data showed that industrial production in Germany rebounded in January, as construction output improved after the weather-related slump in December.
The Federal Ministry of Economics and Technology said industrial production rose 1.8% month-on-month in January, after falling by a revised 0.6% the previous month, surpassing expectations for a 1.7% increase.
Meanwhile, the euro was lower against the Swiss franc, with EUR/CHF shedding 0.59% to hit 1.2924.
Also Wednesday, official data showed that Swiss consumer price inflation rose slightly more-than-expected in February, driven by higher rents and increasing costs for energy and fuel.