Investing.com - The euro was steady against the U.S. dollar on Friday, hovering near eight-month highs as concerns over the current U.S. government shutdown continued to weigh on demand for the greenback.
EUR/USD hit 1.3632 during late Asian trade, the session high; the pair subsequently consolidated at 1.3628, easing up 0.07%.
The pair was likely to find support at 1.3506, the low of October 2 and resistance at 1.3658, the high of February 4.
The dollar remained under pressure as investors continued to weigh the implications of a protracted U.S. government shutdown.
On Thursday, disappointing U.S. service sector data added to concerns that the shutdown in Washington could have wider consequences on the U.S. economy.
The Institute of Supply Management said its non-manufacturing purchasing manager's index fell to a three-month low of 54.4 in September from a reading of 58.6 in August. Analysts had expected the index to decline to 57.4 last month.
The U.S. Labor Department on Thursday said the employment report for September will not be released as scheduled on Friday due to the government shutdown. It said a new release date had not been set.
Investors were also considering how the U.S. political deadlock will impact negotiations to raise the U.S. debt ceiling, which the U.S. Treasury Department has estimated will be reached by October 17.
Meanwhile, the single currency remained supported by official data on Thursday showing that retail sales in the euro zone rose 0.7% in August, beating expectations for a 0.2% gain, after an upwardly revised 0.5% increase the previous month.
In addition, Markit research group said its final reading for the euro zone services PMI rose to 52.2 in September, from 52.1 in August, compared to expectations for an unchanged reading.
The euro was also steady against the pound with EUR/GBP inching 0.02% higher, to hit 0.8431.
EUR/USD hit 1.3632 during late Asian trade, the session high; the pair subsequently consolidated at 1.3628, easing up 0.07%.
The pair was likely to find support at 1.3506, the low of October 2 and resistance at 1.3658, the high of February 4.
The dollar remained under pressure as investors continued to weigh the implications of a protracted U.S. government shutdown.
On Thursday, disappointing U.S. service sector data added to concerns that the shutdown in Washington could have wider consequences on the U.S. economy.
The Institute of Supply Management said its non-manufacturing purchasing manager's index fell to a three-month low of 54.4 in September from a reading of 58.6 in August. Analysts had expected the index to decline to 57.4 last month.
The U.S. Labor Department on Thursday said the employment report for September will not be released as scheduled on Friday due to the government shutdown. It said a new release date had not been set.
Investors were also considering how the U.S. political deadlock will impact negotiations to raise the U.S. debt ceiling, which the U.S. Treasury Department has estimated will be reached by October 17.
Meanwhile, the single currency remained supported by official data on Thursday showing that retail sales in the euro zone rose 0.7% in August, beating expectations for a 0.2% gain, after an upwardly revised 0.5% increase the previous month.
In addition, Markit research group said its final reading for the euro zone services PMI rose to 52.2 in September, from 52.1 in August, compared to expectations for an unchanged reading.
The euro was also steady against the pound with EUR/GBP inching 0.02% higher, to hit 0.8431.