Investing.com - The euro erased Friday's gains against the dollar early Monday as investors sold the single currency for profits.
The dollar tanked and the euro rose on Friday after the U.S. Labor Department revealed the economy added a net 96,000 nonfarm payrolls in August, well below market calls for 125,000 jobs.
In Asian trading on Monday, EUR/USD was trading down 0.19% at 1.2792, up from a low of 1.2791 and off from a high of 1.2812.
The pair was likely to find support at 1.2502, Wednesday’s low, and resistance at 1.2817, Friday’s high.
The euro shot up on Friday's U.S. jobs report for August before profit-taking sent it down on Monday.
The poor jobs numbers fueled already growing sentiment that the Federal Reserve will roll out a third round of quantitative easing at its Sept. 12-13 monetary policy meeting.
Under quantitative easing, the Fed buys assets such as Treasury holdings or mortgage-backed securities held by banks, pumping the economy full of fresh liquidity in a way that pushes down interest rates to encourage investing and hiring, weakening the dollar in the process.
The Bureau of Labor Statistics added that July's figures were revised down to 141,000 from 163,000, while June's figures were revised down to 45,000 from 64,000.
The unemployment rate stands at 8.1 percent.
Meanwhile in Europe, the single currency saw support on ECB President Mario Draghi's recent announcement that monetary authorities will buy sovereign bonds with maturities of up to three years via an Outright Monetary Transaction scheme, which won't affect the size of the ECB's balance sheet.
The plan aims to lower borrowing costs in countries such as Italy and Spain.
The euro, meanwhile, was down against the pound and down against the yen, with EUR/GBP down 0.16% at 0.7993, and EUR/JPY trading down 0.21% at 100.08.
Later on Monday, the eurozone will release data on investor confidence, while France is to publish official data on industrial production.
The dollar tanked and the euro rose on Friday after the U.S. Labor Department revealed the economy added a net 96,000 nonfarm payrolls in August, well below market calls for 125,000 jobs.
In Asian trading on Monday, EUR/USD was trading down 0.19% at 1.2792, up from a low of 1.2791 and off from a high of 1.2812.
The pair was likely to find support at 1.2502, Wednesday’s low, and resistance at 1.2817, Friday’s high.
The euro shot up on Friday's U.S. jobs report for August before profit-taking sent it down on Monday.
The poor jobs numbers fueled already growing sentiment that the Federal Reserve will roll out a third round of quantitative easing at its Sept. 12-13 monetary policy meeting.
Under quantitative easing, the Fed buys assets such as Treasury holdings or mortgage-backed securities held by banks, pumping the economy full of fresh liquidity in a way that pushes down interest rates to encourage investing and hiring, weakening the dollar in the process.
The Bureau of Labor Statistics added that July's figures were revised down to 141,000 from 163,000, while June's figures were revised down to 45,000 from 64,000.
The unemployment rate stands at 8.1 percent.
Meanwhile in Europe, the single currency saw support on ECB President Mario Draghi's recent announcement that monetary authorities will buy sovereign bonds with maturities of up to three years via an Outright Monetary Transaction scheme, which won't affect the size of the ECB's balance sheet.
The plan aims to lower borrowing costs in countries such as Italy and Spain.
The euro, meanwhile, was down against the pound and down against the yen, with EUR/GBP down 0.16% at 0.7993, and EUR/JPY trading down 0.21% at 100.08.
Later on Monday, the eurozone will release data on investor confidence, while France is to publish official data on industrial production.