Forex Pros – The euro's decline against the U.S. dollar on Wednesday halted at 1.3358, an 8-day low, as Greece held talks with the International Monetary Fund, the European Central Bank and the European Commission on a rescue package.
EUR/USD subsequently clawed back up to 1.3395, still shedding 0.3%. The pair was likely to find support at 1.3267, the low of March 25, and resistance at 1.3692, the high of April 12.
Earlier Wednesday, Greece's finance minister, George Papaconstantinou, said the talks will last two weeks, and that a joint text will then be agreed by May 15.
The euro also slumped versus sterling on Wednesday, with
EUR/GBP dropping 0.56% to hit 0.8698.
Meanwhile, U.S. Federal Reserve Chairman Ben Bernanke was set to speak at an event in Washington, D.C. Traders were likely to scrutinize his comments for clues to future shifts in monetary policy.