Investing.com

Investing.com - The euro remained near one-week lows against the U.S. dollar in subdued trade on Friday, as European Central Bank Mario Draghi''s comments on Thursday continued to weigh on the single currency.



Trading volumes were expected to remain thin on Friday, as U.S. markets were to remain closed for the fourth of July holiday.



EUR/USD hit 1.3585 during U.S. morning trade, the pair''s lowest since June 26; the pair subsequently consolidated at 1.3589, slipping 0.16%.



The pair was likely to find support at 1.3576, the low of June 26 and resistance at 1.3641, the high of June 26.



The euro came under pressure on Thursday after ECB President Mario Draghi reiterated the bank’s forward guidance that rates will remain on hold at present or lower levels for an extended period.



He emphasized that "the governing council is also unanimous in its commitment to use unconventional instruments'' if necessary, to address the risk of too-prolonged period of low inflation.”



Earlier Friday, official data showed that German factory orders dropped 1.7% in May, compared to expectations for a 1.0% decline, after an increase of 3.4% in April, whose figure was revised up from a previously estimated 3.1% rise.



Meanwhile, demand for the greenback remained supported after the Labor Department on Thursday reported that that U.S. economy added 288,000 jobs last month, easily surpassing expectations for an increase of 212,000, and that the U.S. unemployment rate fell to 6.1% from 6.3% in May, the lowest in almost six years.



The upbeat jobs report fuelled optimism over the strength of the labor market and bolstered the outlook for the broader economic recovery.



The euro was also lower against the pound, with EUR/GBP edging down 0.12% to 0.7924.





Please LIKE our Facebook page - it makes us stronger