It took a trio of factors to help lift the euro above $1.10 against the greenback, its strongest level in eight weeks. They included: the dollar's data-induced pullback, data indicating a milestone improvement for Europe's recovery and reports that Greece's new bailout squad plans to submit a list of fresh reforms to its creditors in hopes of winning badly needed rescue funds.
In a key signpost for the euro zone recovery, lending growth increased for the first time in three years, showing the central bank's aggressive, pro-growth policies starting to bear some fruit.
A key test to see whether euro sentiment has really improved will be how long it can hold above $1.10 - a level that bears may find too irresistible to sell it.
