Investing.com - The euro slid against the dollar on Monday after data revealed output in Europe's largest economy came in a little softer than expected in March.
In U.S. trading, EUR/USD was down 0.04% at 1.3789, up from a session low of 1.3760 and off a high of 1.3827.
The pair was likely to find support at 1.3750, Thursday's low, and resistance at 1.3948, Monday's high.
Markit Economics reported earlier that its preliminary reading of the euro area’s composite purchasing managers' index ticked down to 53.2, only slightly lower than February’s 32-month highs of 53.3.
However, the euro came under pressure after data showed that the preliminary reading of Germany’s manufacturing purchasing managers' index fell to a four-month low of 53.8 in March from a final reading of 54.8 in February, missing forecasts for a 54.6 reading.
The country’s services PMI declined to 54.0, from 55.9 last month, missing consensus forecasts for a 55.5 reading.
Better-than-expected data out of France cushioned the euro's losses
The French manufacturing PMI rose to 51.9 in March, from 49.7 last month, beating expectations for a 49.8 reading. France’s services PMI rose to a 26-month high of 51.4 from 47.2 in February, well above forecasts for a 47.5 reading.
Markets interpreted the French numbers as a sign that recovery in the euro area is gaining steam.
Meanwhile in the U.S., Markit reported that its preliminary U.S. manufacturing purchasing managers’ index fell to 55.5 in March from a final reading of 57.1 in February. Analysts were expecting the index to dip to 56.5 in March.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
The euro was down against the pound, with EUR/GBP down 0.07% to 0.8360, and down against the yen, with EUR/JPY down 0.11% at 140.94.
On Tuesday, Germany is to release the Ifo report on business climate.
THe U.S. is to release report on house price inflation and consumer confidence, as well as official data on new home sales.