Euro steadies at four-month peak as market awaits EU summit

The euro steadied at four-month highs on the dollar after investors pinned hopes on the EU economic rescue fund as European leaders are expected to break a deadlock and agree on a deal.

EU leaders had differing stands on the proposed 750 billion euro recovery fund to be raised on capital markets by the European Commission.

Several north European states preferred a maximum of 350 billion euros on grants, while the others pushed for a minimum of 400 billion. Investors are closely awaiting the bloc’s decision in their summit.

The euro stood at $1.1439, while the dollar remained weak as investors maintained a strong risk appetite. The U.S. currency traded at 95.949.

In the U.S. Congress, Republicans and Democrats debated over a new coronavirus-aid bill. The former pushed for a $1 trillion worth of coronavirus aid bill, while the latter pushed for $3 trillion.

The Japanese yen steadied at 107.07 per dollar, while the offshore yuan stood at $6.9889. The pound was flat at $1.2570, while the Aussie sat at $0.6999.