The euro cut gains to turn negative on the day on Wednesday, extending a drop after weak German industrial output data and as the impact of U.S. President Barack Obama’s reelection faded.
The euro traded slightly lower on the day at $1.2806. It dropped from around $1.2842 just before data at 1100 GMT revealed a 1.8 percent monthly fall in German factory production, increasing concerns the euro zone’s largest economy may be faltering.
Traders said the euro fell below stop loss sell orders at $1.2810. More losses could see it target the low reached in Asian trade of $1.2784.