Investing.com - The euro rose against the dollar on Monday after a Germany manufacturing barometer beat expectations, though prospects for the European Central Bank to trim interest rates this week to kick-start recovery capped the single currency's advance.
In U.S. trading on Monday, EUR/USD was up 0.23% at 1.3523, up from a session low of 1.3442 and off from a high of 1.3524.
The pair was likely to find support at 1.3325, the low from Sept. 17, and resistance at 1.3818, last Monday's high.
The euro zone manufacturing purchasing managers’ index ticked up to 51.3 in October from a final reading of 51.1 in September, unchanged from a preliminary estimate and in line with market forecasts, according to London-based Markit Economics.
Germany’s manufacturing PMI rose to 51.7 last month from 51.5 in September as new orders and production levels rose.
Analysts were expecting the figure to remain unchanged at 51.5.
Still, sluggish inflation rates, elevated unemployment numbers and soft data elsewhere in the euro zone have many convinced the European Central Bank will trim interest rates at a policy meeting this week, which watered down the euro's gains.
Meanwhile in the U.S., date released earlier revealed that U.S. factory orders rose 1.7% in October from September, in line with expectations.
The dollar traded lower, however, as investors weighed possible market reactions to the release of the October U.S. jobs report due out on Friday.
The dollar also moved lower as investors sold the unit for profits in wake of better-than-expected recent manufacturing data.
The Institute of Supply Management released data last week showing that the U.S. PMI rose to 56.4 in October from 56.2 in September, defying expectations for a decline to 55.0.
The numbers sent the greenback strengthening to levels ripe for profit taking on Monday.
The euro, meanwhile, was up against the pound and up against the yen, with EUR/GBP trading up 0.02% at 0.8474 and EUR/JPY trading up 0.12% at 133.33.
On Tuesday, Spain is to publish unemployment data.
In the U.S., the Institute of Supply Management is to release a report on service-sector activity.
In U.S. trading on Monday, EUR/USD was up 0.23% at 1.3523, up from a session low of 1.3442 and off from a high of 1.3524.
The pair was likely to find support at 1.3325, the low from Sept. 17, and resistance at 1.3818, last Monday's high.
The euro zone manufacturing purchasing managers’ index ticked up to 51.3 in October from a final reading of 51.1 in September, unchanged from a preliminary estimate and in line with market forecasts, according to London-based Markit Economics.
Germany’s manufacturing PMI rose to 51.7 last month from 51.5 in September as new orders and production levels rose.
Analysts were expecting the figure to remain unchanged at 51.5.
Still, sluggish inflation rates, elevated unemployment numbers and soft data elsewhere in the euro zone have many convinced the European Central Bank will trim interest rates at a policy meeting this week, which watered down the euro's gains.
Meanwhile in the U.S., date released earlier revealed that U.S. factory orders rose 1.7% in October from September, in line with expectations.
The dollar traded lower, however, as investors weighed possible market reactions to the release of the October U.S. jobs report due out on Friday.
The dollar also moved lower as investors sold the unit for profits in wake of better-than-expected recent manufacturing data.
The Institute of Supply Management released data last week showing that the U.S. PMI rose to 56.4 in October from 56.2 in September, defying expectations for a decline to 55.0.
The numbers sent the greenback strengthening to levels ripe for profit taking on Monday.
The euro, meanwhile, was up against the pound and up against the yen, with EUR/GBP trading up 0.02% at 0.8474 and EUR/JPY trading up 0.12% at 133.33.
On Tuesday, Spain is to publish unemployment data.
In the U.S., the Institute of Supply Management is to release a report on service-sector activity.