2023.03.2412:42:00UTC+00Euro Falls Amid Growth Concerns

The euro depreciated against its major counterparts in the European session on Friday, as European shares fell on renewed concerns about the health of the banking sector despite assurances from U.S. regulators.

Treasury Secretary Janet Yellen's pledge to safeguard all deposits without congressional approval failed to reassure investors.

Flash survey results from S&P Global showed that Eurozone and German manufacturing PMIs fell more-than-expected in March.

Eurozone manufacturing PMI dropped to a 4-month low of 47.1 in March from 48.5 last month. The reading was forecast to fall to 49.

German manufacturing PMI fell to 44.4 in March from 46.3 in February. This was the lowest reading since May 2020.

The U.K.'s FTSE 100 dropped 1.9 percent, while France's CAC 40 and Germany's DAX fell 2.2 percent each.

The euro dropped to 3-day lows of 1.0712 against the greenback and 1.7272 against the kiwi, from its prior highs of 1.0838 and 1.7376, respectively. The next likely support for the euro is seen around 1.05 against the greenback and 1.70 against the kiwi.

The euro weakened to a 2-day low of 0.8777 against the pound and a 1-week low of 0.9848 against the franc, after rising to 0.8826 and 0.9939, respectively in early deals. The currency may find support around 0.86 against the pound and 0.97 against the franc, should it drops again.

The euro fell to 2-day lows of 1.6138 against the aussie and 1.4766 against the loonie, retreating from its early highs of 1.6251 and 1.4870, respectively. The euro is poised to challenge support around 1.58 against the aussie and 1.46 against the loonie.

The euro was down against the yen, at a 4-day low of 139.06. On the downside, 135.00 is possibly seen as its next support level.