RTTNews - The euro saw weakness on Wednesday in New York in trading versus other majors. The common currency fell as European Central Bank member Erkki Liikanen said a floor should not be set for interest rates.

On Wednesday, Moody's reaffirmed its AAA credit rating for the U.S. despite rising debt, citing a resilient economy, strong government institutions, high per capita income and central position in the global economy.

The euro was modestly lower amid choppy trading versus the U.S. dollar, moving near 1.3900. The European currency had hit a multi-month high of 1.4050 last week.

Industry data showed existing home sales rose 2.9 percent to an annual rate of 4.68 million units in April from a downwardly revised rate of 4.55 million units in March. Economists had expected sales to rise to a 4.66 million unit rate from the 4.57 million unit rate originally reported for the previous month.

The common currency fell below near-term support against the surging British pound and extended a 3 1/2-month low to 0.8655. If the euro gets below 0.8638, it will hit a 5 1/2-month low.

In the UK, the number of mortgages approved in the rose to 27,685 in April from 26,671 in March, the British Bankers' Association said. However, approvals for April stood below the expected level of 28,000 and dropped 15.5% from the previous year.

The euro turn lower against the Japanese yen and moved near 132.40. Earlier in the morning, the common currency hit a three-week high of 133.50.

Minutes of the latest Bank of Japan meeting showed members felt there was no need for additional policy steps to combat the economic slowdown. The members went on to say that policy should be based on long-term perspective.

Destatis, Federal Statistical Office, said that German consumer prices slipped to minus 0.1 percent in May from plus 0.8 percent in April. On an annual basis, the country's inflation rate slumped to zero from 0.7 in April.

The French statistical office INSEE reported that the consumer confidence index rose to minus 40 in May from minus 41 in April. The reading was in line with economists' expectations.

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