Investing.com

Investing.com - The euro held modest gains against the U.S. dollar on Friday, supported by higher than expected German inflation data and as Thursday''s disappointing U.S. spending data continued to weigh on the greenback, while markets eyed an upcoming U.S. consumer sentiment report.



EUR/USD hit 1.3629 during late Asian trade, the session high; the pair subsequently consolidated at 1.3623, adding 0.08%.



The pair was likely to find support at 1.3576, Thursday''s low and resistance at 1.3668, the high of June 9.



The greenback remained under pressure as data showed that U.S. personal spending rose 0.2% last month, below expectations for an increase of 0.4%. Personal spending for April was revised to a flat reading from a previously reported decline of 0.1%.



In the euro zone, preliminary data on Friday showed that German consumer price inflation rose 0.3% this month, more than the expected 0.2% gain, after a 0.1% fall in May.



A separate report showed that Spain''s CPI rose at an annual rate of 0.1% in June, compared to expectations for a 0.3% rise, after a 0.2% increase in May.



Official data earlier showed that French consumer spending rose 1% in May, exceeding expectations for a 0.4% gain, after a 0.2% fall in April, whose figure was revised from a previously estimated 0.3% decline.



The euro was fractionally higher against the pound, with EUR/GBP edging up 0.08% to 0.8000.



Also Friday, the Office for National Statistics said U.K. gross domestic product expanded by 0.8% in the first quarter, in line with market expectations.



A separate report showed that the U.K. current account deficit narrowed to £18.5 billion in the three months to April, from £23.5 billion in the fourth quarter of 2013 whose figure was revised down from a previously estimated deficit of £22.4 billion.



Analysts had expected the current account deficit to narrow to £17.5 billion in the first quarter.



Later in the day, the U.S. was to release revised data on consumer sentiment.





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