Published by Jamie JemmesonSterling has improved versus the euro in foreign exchange trading as ongoing concerns about the eurozone continued to impact the market.The single currency held steady versus the pound yesterday (December 15th) at 83.95 pence, slightly above the lowest level since the middle of February - 83.72 pence - seen on Wednesday, reports Bloomberg.The move came as analysts remained uncertain about the likelihood of European leaders implementing a policy to overcome the debt crisis.Commenting on the situation, chief analyst at Danske Bank John Hydeskov said: "The retail sales data has been sterling supportive. Even though the annual pace is low, it is good in the current environment. But the European debt crisis is the dominant factor for euro/sterling. I think we will be between 83 and 84 pence for the rest of this year."Head of dealing for corporate and institutional treasury at Investec Lee McDarby stated that a number of orders from UK importers are made close to the 1.20 level for sterling/euro, which makes it a "big level of resistance".There was also good news for the pound versus the US dollar as it traded at $1.5484, up 0.1 per cent on the previous day.Mr Hydeskov suggested that if the situation with the 17-nation currency remains unchanged in the near future then the euro may tumble to 81 pence at the beginning of next year.However, the pound may still be hit by prime minister David Cameron's decision to oppose changes to the European Union treaty last week, which attracted criticism from numerous sources including deputy prime minister Nick Clegg.Tom Luster, portfolio manager at Eaton Vance Corp in Boston, recently told Bloomberg that it is a likely a "pretty significant recession" will occur in Europe, which may have a knock-on effect on the US.For more information on foreign exchange treasury services and risk management, visit our Corporate FX site