Investing.com - The euro gained against the dollar on Thursday as investors cooled dollar demand ahead of the release of the December jobs report on Friday, ending gains stemming from hawkish Federal Reserve language and positive data hitting the wire earlier this week.
In U.S. trading, EUR/USD was trading at 1.3588, up 0.09%, up from a session low of 1.3549 and off a high of 1.3656.
The pair was likely to find support at 1.3524, the low from Dec. 3, and resistance at 1.3775, Thursday's high.
Profit takers sent the dollar inching lower on Thursday as investors fled to the sidelines to await the release of the December jobs report on Friday.
The dollar gained this week after payroll processor ADP reported that private-sector nonfarm payrolls rose by 238,000 in December, surpassing consensus forecasts for an increase of 200,000, while the Federal Reserve said in the minutes of its December policy report that authorities felt the decision to trim its monthly bond purchases in January was the right one and stressed the need to follow up in "measured" steps.
Earlier Thursday, the Labor Department said the number of individuals filing for unemployment assistance in the U.S. last week fell by 15,000 to 330,000 from the previous week’s revised total of 345,000.
Economists had expected jobless claims to decline by 10,000.
The euro, meanwhile, faced pressures of its own after ECB President Mario Draghi “strongly” reiterated the bank’s forward guidance on interest rates, saying monetary policy will remain accommodative for as long as necessary.
Draghi said the ECB was ready to take "further decisive action" if monetary authorities detected unwarranted short-term tightening in the money markets or if the outlook for inflation worsened in the medium term. The ECB would consider "all possible instruments" to tackle these contingencies, he added.
Draghi's comments came after the ECB left interest rates on hold at 0.25%, in a widely anticipated decision.
Also in Europe, Germany's industrial production rose 1.9% in November, beating market calls for a 1.5% gain.
The euro was flat against the pound, with EUR/GBP slipping 0.01% to 0.8254, and up against the yen, with EUR/JPY trading up 0.02% 142.38.
On Friday, markets will move on the U.S. December jobs report.
In U.S. trading, EUR/USD was trading at 1.3588, up 0.09%, up from a session low of 1.3549 and off a high of 1.3656.
The pair was likely to find support at 1.3524, the low from Dec. 3, and resistance at 1.3775, Thursday's high.
Profit takers sent the dollar inching lower on Thursday as investors fled to the sidelines to await the release of the December jobs report on Friday.
The dollar gained this week after payroll processor ADP reported that private-sector nonfarm payrolls rose by 238,000 in December, surpassing consensus forecasts for an increase of 200,000, while the Federal Reserve said in the minutes of its December policy report that authorities felt the decision to trim its monthly bond purchases in January was the right one and stressed the need to follow up in "measured" steps.
Earlier Thursday, the Labor Department said the number of individuals filing for unemployment assistance in the U.S. last week fell by 15,000 to 330,000 from the previous week’s revised total of 345,000.
Economists had expected jobless claims to decline by 10,000.
The euro, meanwhile, faced pressures of its own after ECB President Mario Draghi “strongly” reiterated the bank’s forward guidance on interest rates, saying monetary policy will remain accommodative for as long as necessary.
Draghi said the ECB was ready to take "further decisive action" if monetary authorities detected unwarranted short-term tightening in the money markets or if the outlook for inflation worsened in the medium term. The ECB would consider "all possible instruments" to tackle these contingencies, he added.
Draghi's comments came after the ECB left interest rates on hold at 0.25%, in a widely anticipated decision.
Also in Europe, Germany's industrial production rose 1.9% in November, beating market calls for a 1.5% gain.
The euro was flat against the pound, with EUR/GBP slipping 0.01% to 0.8254, and up against the yen, with EUR/JPY trading up 0.02% 142.38.
On Friday, markets will move on the U.S. December jobs report.