The euro nursed only modest losses early on Wednesday, having regained quite a bit of ground as markets got over a closely watched report that showed a slump in German economic sentiment.
The common currency last traded at $1.3369, after coming within a whisker of a nine-month trough of $1.3333. Euro bears emerged after German analyst and investor morale fell sharply as the crisis in Ukraine took a toll.
“The German ZEW expectations survey disappointed yet again after seven consecutive months of below-consensus prints. The miss was the largest this year and continues to suggest further loss of momentum,” analysts at JPMorgan wrote in a note to clients.