Investing.com - The euro firmed against the dollar on Monday after investors speculated the possibility that a cooling global economy could weigh on U.S. recovery and prompt the Federal Reserve to raise interest rates a little later in 2015 than once expected.
In U.S. trading, EUR/USD was up 0.19% at 1.2784, up from a session low of 1.2732 and off a high of 1.2836.
The pair was likely to find support at 1.2623, last Wednesday's low, and resistance at 1.2886, last Wednesday's high.
Germany’s Bundesbank reported earlier the country’s economy barely grew in the third quarter, as industrial output slowed and business sentiment deteriorated.
In its monthly report the German central bank said that while the euro zone’s largest economy was unlikely to enter a recession the economic outlook for the fourth quarter was cautious.
The ECB launched its new stimulus program on Monday, purchasing covered bonds in a bid to increase liquidity in the region.
Still, the dollar softened against the euro on concerns that even though the Federal Reserve is seen closing its monthly bond-buying program next week, rate hikes may come later in 2015 than once anticipated to make sure cooling European and Asian economies won't dampen U.S. recovery
Elsewhere, the euro was down against the pound, with EUR/GBP down 0.07% at 0.7924, and up against the yen, with EUR/JPY up 0.19% at 136.66.
On Tuesday the U.S. is to release private-sector data on existing home sales.