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Forex - EUR/USD hits fresh daily high after Trichet remarks

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Forex Pros - The euro extended gains against the U.S. dollar on Monday, climbing to a fresh daily high, following remarks on inflation by European Central Bank President Jean-Claude Trichet.

EUR/USD hit 1.4403 during early U.S. trade, the daily high; the pair subsequently consolidated at 1.4398, climbing 0.35%.

The pair was likely to find support at 1.4256, the low of May 30 and resistance at 1.4550, last Friday's high.

Speaking at the London School of Economics earlier in the day, Trichet said oil and commodity prices have boosted inflation and the ECB must stop second-round effects on wages and prices.

The single currency remained supported amid expectations that European Union policymakers will reach a resolution on whether private investors would take part in a restructuring of Greek debt.

Elsewhere, the greenback remained under pressure amid uncertainty over future U.S. monetary policy ahead of the end of the Federal Reserve's quantitative easing program at the end of the month.

Meanwhile, the euro fell to an all-time low against the Swiss franc, with EUR/CHF briefly touching 1.2005, the pair's lowest since the launch of the singe currency in 1999.

On Friday, Greek Finance Minister George Papaconstantinou said his country expects its euro zone partners to cover its financing needs with a new loan for the next two or three years.

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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.


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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