The euro edged lower against the advancing US dollar on Thursday, after it became clear that FOMC policymakers expressed different opinions, regarding the timing of Feds stimulus program pare back.
EUR/USD slid to a session low at 1.3330 at 0:30 GMT, also the pairs lowest since August 20th, after which consolidation followed at 1.3347, falling 0.06% for the day. Support was likely to be found at psychological 1.3200 level, while resistance was to be met at August 21st high, 1.3426.
The minutes of Fed’s most recent meeting showed that policymakers were “broadly comfortable” with Chairman Ben Bernanke’s time frame to begin asset purchase tapering this year, if the economy improves, with a few officials saying a reduction might be necessary soon. “Almost all committee members agreed that a change in the purchase program was not yet appropriate,” and a few stated that “it might soon be time to slow somewhat the pace of purchases as outlined in that plan,” according to the minutes of the Federal Open Market Committee’s July 30-31st meeting released yesterday. Recent economic data out of the United States was described as “mixed” in the minutes, so it is understandable that tapering the easing program may be delayed, if economic development still showed weak results.
In the mean time a series of preliminary values of PMI indicators in manufacturing and services were to be released out of Germany, France and the euro zone today. Also, later on trading Thursday the United States will publish the weekly report on initial jobless claims and the preliminary value of manufacturing PMI.
Elsewhere, the euro was higher against the sterling, as EUR/GBP cross added 0.11% to trade at 0.8541. EUR/JPY pair was gaining 0.36% to trade at 130.94.
TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover 
