Forex News – Euro slips after Italian bond yields rise

Important: This page is part of archived content and may be outdated.

The euro fell against the dollar after results of the Italian bond auction today. The Italian government’s financing costs rose after yields rose to a euro – era record yield of 6.47 percent to sell five-year debt. Rising yields add to concerns that the EU summit last week had made little progress in tackling the euro zone debt crisis.

The euro slipped to 1.3037 against the dollar from around 1.3057 before the auction results came out, although it held above an 11-month low of $1.3005 hit earlier in the session.

EURUSD was trading at 1.3014 at 11:00 GMT.

Meanwhile EU Industrial Production data were released at 10:00 GMT showing a decrease by 0.1 percent in October. Economists expected at least a 0.1 percent increase. Previous month showed a decline of 0.2 percent.

The data measure the change in the total inflation-adjusted value of output produced by manufacturers, mines, and utilities in the euro zone.