Investing.com - The euro edged lower against the dollar on Thursday as investors awaited the latest U.S. nonfarm payrolls report and the European Central Bank’s policy announcement later in the day.
EUR/USD dipped 0.05% to 1.3652, off the six-week high of 1.3699 struck earlier in the week.
The pair was likely to find support at the 1.3600 level and resistance at 1.3681, Wednesday’s high.
The dollar remained supported after Wednesday’s ADP nonfarm payrolls report showed that the U.S private sector added 281,000 jobs last month, outstripping expectations for an increase of 200,000. It was the largest increase since November 2012.
The upbeat data eased concerns over the outlook for the U.S. recovery and bolstered expectations for a strong increase in government nonfarm payrolls later Thursday. The report was being released on day early ahead of Friday’s Independence Day holiday.
The euro came under pressure amid concerns that the ECB could voice concerns over the currency’s recent strength at its post-policy meeting press conference, as fears over persistently low levels of inflation in the euro zone continued.
The ECB was seen as unlikely to implement fresh monetary policy measures at its meeting after cutting rates to record lows in June.
The single currency inched higher against the yen, with EUR/JPY at 139.07 from 138.95 late Wednesday.
Elsewhere, the dollar rose to one-week highs against the yen, with USD/JPY rising 0.10% to 101.87.