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Forex - EUR/USD eases but remains broadly lower after Japan move

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Forexpros - The euro eased off a daily low against the U.S. dollar on Thursday, but remained under pressure after Japan's earlier intervention in currency markets lent support to the dollar and as concerns over sovereign debt contagion in the euro zone simmered.

EUR/USD pulled away from 1.4208, the daily low; to hit 1.4243 during European afternoon trade, still down 0.55% over the day.

The pair was likely to find support at 1.4142, Wednesday's low and a two-week low and resistance at 1.4453, the high of August 1.

The dollar rose against all the major currencies earlier, after Japanese authorities stepped into currency markets for the first time since March to curb the yen's gains, amid concerns that the currency's appreciation would hinder the largely export-based economy's recovery from a downturn sparked by the March 11 earthquake and tsunami.

In addition, the Bank of Japan announced additional monetary easing in order to support the Finance Ministry's intervention to weaken the yen.

Also Thursday, Spain's Treasury auctioned EUR3.3 billion of bonds at higher interest rates than at an auction last month. Following the auction, the yield on Spanish 10-year bonds neared 7%, the threshold that heralded the bailouts of Greece, Portugal and Ireland.

Meanwhile, the European Central Bank said it was maintaining the benchmark interest rate at 1.50% earlier, in a widely expected decision. The bank's President, Jean-Claude Trichet was to speak at the bank's post-policy meeting press conference later in the day.

Elsewhere, the euro was almost unchanged against the pound, with EUR/GBP dipping 0.01% to hit 0.8717.

Later Thursday, the U.S. was to publish government data on initial jobless claims.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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