Investing.com - The U.S. dollar edged higher against almost all of the other major currencies on Monday, but gains were limited as prospects for a third round of monetary easing by the Federal Reserve this week weighed.
During European afternoon trade, the dollar was higher against the euro, with EUR/USD down 0.27% to 1.2781.
The euro slipped as traders locked profits following Friday’s rally, while investors were also cautious ahead of a German court ruling on the constitutionality of the euro zone’s bailout fund, the European Stability Mechanism later in the week.
Demand for the single currency continued to be underpinned after the European Central Bank unveiled details of its bond purchasing program, which is aimed at lowering the borrowing costs of peripheral euro zone members.
Meanwhile, the greenback remained under pressure amid growing expectations that that the U.S. central bank will implement further stimulus measures to strengthen the economic recovery following its policy meeting on Thursday.
Official data on Friday showed that the U.S. economy added 96,000 jobs in August, well below expectations for 125,000, following a downwardly revised 141,000 in July.
The greenback was also higher against the pound, with GBP/USD sliding 0.21% to 1.5974.
Elsewhere, the greenback was little changed against the yen, with USD/JPY edging up 0.01% to 78.25, but gained ground against the Swiss franc, with USD/CHF up 0.30% to 0.9469.
Earlier Monday, revised data showed that Japan’s economy expanded by 0.2% in the second quarter, down from a preliminary estimate of 0.3% growth.
The greenback was broadly higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD slipping 0.13% to 0.9772, AUD/USD shedding 0.40% to trade at 1.0345 and NZD/USD down 0.26% to 0.8099.
In Australia, official data showed that home loan approvals fell by 1.0% in July, compared to expectations for a 0.1% increase, after a 1.0% decline in June.
Elsewhere, official data showed that China posted a wider-than-expected trade surplus in August as imports unexpectedly declined. China is Australia’s largest export destination.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.22% to 80.53.
Trade looked likely to remain subdued on Monday, as investors looked ahead to Wednesday’s German court ruling on the ESM, as well as the outcome of the Fed’s policy meeting on Thursday.
During European afternoon trade, the dollar was higher against the euro, with EUR/USD down 0.27% to 1.2781.
The euro slipped as traders locked profits following Friday’s rally, while investors were also cautious ahead of a German court ruling on the constitutionality of the euro zone’s bailout fund, the European Stability Mechanism later in the week.
Demand for the single currency continued to be underpinned after the European Central Bank unveiled details of its bond purchasing program, which is aimed at lowering the borrowing costs of peripheral euro zone members.
Meanwhile, the greenback remained under pressure amid growing expectations that that the U.S. central bank will implement further stimulus measures to strengthen the economic recovery following its policy meeting on Thursday.
Official data on Friday showed that the U.S. economy added 96,000 jobs in August, well below expectations for 125,000, following a downwardly revised 141,000 in July.
The greenback was also higher against the pound, with GBP/USD sliding 0.21% to 1.5974.
Elsewhere, the greenback was little changed against the yen, with USD/JPY edging up 0.01% to 78.25, but gained ground against the Swiss franc, with USD/CHF up 0.30% to 0.9469.
Earlier Monday, revised data showed that Japan’s economy expanded by 0.2% in the second quarter, down from a preliminary estimate of 0.3% growth.
The greenback was broadly higher against its Canadian, Australian and New Zealand counterparts, with USD/CAD slipping 0.13% to 0.9772, AUD/USD shedding 0.40% to trade at 1.0345 and NZD/USD down 0.26% to 0.8099.
In Australia, official data showed that home loan approvals fell by 1.0% in July, compared to expectations for a 0.1% increase, after a 1.0% decline in June.
Elsewhere, official data showed that China posted a wider-than-expected trade surplus in August as imports unexpectedly declined. China is Australia’s largest export destination.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.22% to 80.53.
Trade looked likely to remain subdued on Monday, as investors looked ahead to Wednesday’s German court ruling on the ESM, as well as the outcome of the Fed’s policy meeting on Thursday.