Euro dips against other major currencies

Business

Euro dips against other major currencies

Close

Weak manufacturing reports out of the US and China have stoked worries about the world economies.

03 July,2012 09:50 am

The euro was weak in Asian trade on Tuesday, after the common currency rallied sharply late last week with traders now focusing on a European Central Bank (ECB) rate-setting meeting.The common currency was quoted at $1.2585 and 100.09 yen in Tokyo morning trade, little changed from $1.2582 and 100.05 yen in New York late Monday.The dollar was also little changed at 79.53 yen, from 79.50 yen in the previous days trade, ahead of key US jobs data later in the week as markets remain cautious about the health of the worlds biggest economy.A surprise list of measures aimed at reversing the eurozones spiralling crisis had sent the euro higher last week, but the units rally quickly fizzled with traders looking for what, if any, action the ECB would take at its policy meeting Thursday.The ECBs Governing Council may have little choice but to implement a range of policy tools to shore up the ailing economy as the region faces a growing threat of a prolonged recession, David Song, Currency Analyst at DailyFX, told Dow Jones Newswires.Meanwhile, the dollar would likely be capped around the 79.5 yen level before the release of economic data later this week, dealers said.Ahead of the US market close (Wednesday) and US jobs data due out Thursday and Friday...the dollar-yen rate will be top-heavy at about 79.5 yen levels, said Masafumi Yamamoto, currency strategist at Barclays Capital.