The euro rebounded to the upside against the U.S. dollar, after the Greek Prime Minister, George Papandreou promised that Greece will soon fight its way back to growth, and guaranteed that Greece will meet all the commitments and obligations.
Papandreou told an audience of German business leaders today that I can guarantee that Greece will live up to all its commitments, and added that I promise you we Greeks will soon fight our way back to growth and prosperity.
The Slovenian Parliament is to vote on expanding the powers of the European Financial Stability Facility today, while Germany and Finland are to vote on the expanded powers during this week as agreed by the July 21 summit.
Greece remains the main focus in Europe as rising debt concerns and renewed fears over a Greek default are still dominating investors and markets, while volatility and heavy fluctuations are controlling the markets amid the high level of political uncertainty and divisions between members in the European Union on the mechanism of how to overcome the debt crisis once and for all.
The common currency fluctuated heavily against the U.S. dollar since opening the session today at 1.3531; however, the euro rebounded to the upside from a low of 1.3477 after the Greek Prime Minister eased jitters and fears. The EUR/USD pair is currently trading around 1.3574, after setting the intraday high at 1.3580.
Technically speaking, Stability above 1.3460 could lead an upside movement, while the expected range for today's trading is among the major support at 1.3220 and the major resistance at 1.3840.
On the other hand, the U.S. dollar retreated against the euro, the Canadian dollar and the sterling pound, where after opening the session at 77.98, the dollar index (USDIX) inclined to a high of 78.35, but then retreated to a low of 77.67 affected by the strengthening common currency, and is trading now around 77.77.
Concerning the GBP/USD, the pair opened the session at 1.5562, and then retreated to a low of 1.5524; however, the pair rebounded to the upside as the weakening dollar supported the pound to gain strength, where the pair is currently trading at 1.5621 after reaching a high of 1.5629.
The Canadian dollar also gained strength against the greenback, where after the USD/CAD opened the session at 1.0250, the pair retreated to a low of 1.0186 and is currently hovering around 1.0193.
Moreover, the dollar is trading within narrow levels against the Japanese yen, where the USD/JPY pair is trading between 76.54 and 76.24, which also represent the highest and the lowest intraday record respectively. The pair is trading now around 76.43.