Investing.com - The euro was steady against the dollar on Monday, holding above 14-month lows in the wake of Friday’s disappointing U.S. jobs report and the European Central Bank’s fresh easing measures on Thursday.
EUR/USD dipped 0.05% to trade at 1.2946, not far from last Thursday’s lows of 1.2919.
The pair was likely to find support at the 1.29 level and resistance at around 1.2987, Friday’s high.
The euro pushed higher against the dollar on Friday after data showed that the rate of U.S. job creation slowed in August, indicating that rates could remain on hold at record lows for longer.
The U.S. economy added 142,000 jobs last month, disappointing expectations for jobs growth of 225,000. The unemployment rate ticked down to 6.1% from 6.2% in July, as more people exited the labor force.
The pair fell 1.6% on Thursday; the largest one day drop in almost three years after the ECB cut rates to record lows across the euro zone and announced fresh stimulus measures in an attempt to shore up slowing growth and inflation in the region.
Demand for the dollar continued to be underpinned by the diverging monetary policy stance between the Federal Reserve and the ECB. The Fed is expected to wind up its asset purchase program in October and to start raising interest rates sometime in mid-2015.
Elsewhere, the euro rose to two week highs against the broadly weaker pound, with EUR/GBP last up 0.93% to 0.8007.
Sterling weakened across the board on Monday after a weekend opinion poll showed that Scottish pro-independence voters were narrowly in the lead for the first time since the referendum campaign began.
Uncertainty over what currency an independent Scotland would use pressured the pound lower, while concerns over the implications of a yes vote for Scotland’s financial sector and its status in the European Union also weighed.