The euro rebounded against the dollar on Monday, shortly after verging on a 7-month low amid persisting fiscal concerns about the euro zone periphery.
EUR/USD was hovering around 1.3894, after hitting 1.3852 during the Asian trading session trading, its lowest rate since July 8. The pair is likely to find support around this rate, and resistance at 1.3987, Friday's high.
Traders were awaiting, meanwhile, the release later Monday of the euro zone Manufacturing Purchasing Manager's Index, a key indication of production growth in the 16-nation region.