FOREX-Euro in biggest one-day loss vs dollar in 2 months
* Euro slides on Steinbrueck's EU fiscal stability remarks
* Euro has biggest one-day slide vs dollar since Jan. 9
* Dollar rallies broadly on Japan, Russia G20 view (Recasts, adds comment, updates prices)
By Nick Olivari
NEW YORK, March 27 (Reuters) - The euro endured its biggest one-day loss against the dollar in more than two months on Friday after Germany's finance minister said fiscal irresponsibility in Europe could put the currency at risk.
Traders said the comments by German finance minister Peer Steinbrueck, along with weaker-than-forecast euro zone industrial orders and German inflation data, triggered pre-placed euro sell orders.
The greenback drew support ahead of next week's Group of 20 meeting while the yen rallied on last-minute fund repatriation by Japanese investors ahead of fiscal year end and expectations for further flows to Japan due to a change in tax regulation.
"Germany has a very direct impact on how the euro performs," said Fabian Eliasson, vice president of foreign exchange sales at Mizuho Corporate Bank in New York. But the longer term impact "is hard to gauge until you see how other countries react."
Steinbrueck told the German parliament that the euro was at risk if the European Union's Stability and Growth Pact, which governs the region's rules on budget deficits, is not taken seriously. For more see [ID:nLR49443]. Continued...
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