Euro weakened by traders’ profit-taking

The Euro dipped to a one-week low against the dollar on Thursday on profit-taking after a huge injection of cash by the European Central Bank, with further losses likely due to concerns about debt and the fragile euro zone economy.

On Thursday attention was turned to the European Union summit and the meeting of euro zone finance ministers to discuss Greece’s progress on meeting the terms of its bailout, which analysts said may highlight the risks of Greece struggling to complete the deal before a tight March 20 deadline, as Reuters reported.

Traders reported early euro selling by Asian central banks and macro funds, with many cutting Euro positions as the ECB’s injection of 530 billion Euros in three-year funds had been broadly priced in.

The Euro held above its 100-day moving average at $1.3293, but traders said a fall below there could push it towards $1.32.