Euro clings to gains in Asia

The euro clung to its gains of the past few days on Wednesday, helped by stabilising commodity prices and speculation about another Greek aid package, but a further foray to the upside is seen filled with obstacles such as the chance of negative news on the prospects of the eurozone's efforts to help Greece and other financially strained countries.
The risk-sensitive euro and the Australian dollar dropped briefly after data showing Chinese industrial production and retail sales fell short of market expectations, but they quickly pared losses as China shares recovered. The euro traded at $1.4390, down 0.1 percent on the day but still keeping most of its gains from a three-week low of $1.4254 hit on Monday.
As the unwinding of euro long positions had been in part triggered by massive falls in oil and commodity prices last week, some signs of stabilisation in commodity prices are helping the euro. The euro got a boost on Tuesday after a Dow Jones news agency report, citing a senior Greek government official, said Athens expects to receive a new aid package totalling nearly 60 billion euros ($87 billion) as soon as next month.
The dollar index stood at 74.627, flat on the day and 2.6 percent above the low of 72.696. The greenback stood little changed at 80.88 yen, maintaining its gains since it marked a seven-week low of 79.57 yen last Thursday. It rose as high as 81.10 yen, its highest level in a week, helped by buying from Japanese investors. But offers lined up at 81.20 yen were keeping the dollar's gains in check.
Options traders are said to be saddled with gamma long positions at around 81 yen after dollar calls expiring on Monday with a strike price of 81 yen were traded on Tuesday, which means the dollar may stick around that level because option traders have to sell dollars above 81 yen and buy below that level for delta hedging.
Technically, the yen is trying to stay above the bottom of a cloud on the daily Ichimoku chart at 80.89 yen. The Australian dollar stood at $1.0860, up 0.2 percent on the day, weathering disappointment from the Chinese data.