Forex Pros – The euro was down against the U.S. dollar on Monday, hovering close to a two day low as European finance ministers began a key two-day meeting in Brussels.

EUR/USD hit 1.3245 during European late afternoon trade, the pair’s lowest since last Thursday, the pair subsequently consolidated at 1.3286, shedding 0.75%.

The pair was likely to find support at 1.3088, last Thursday’s low and resistance at 1.3449, Friday’s high.

European finance ministers were meeting to discuss increasing lending capacity of the European Financial Stability Facility, an emergency lending mechanism for fiscally troubled countries.

However, it was expected that a final decision would only be made at a European Council meeting, due to be held in early February.

Earlier in the day, German Finance Minister Wolfgang Schaeuble reiterated that Germany did not see an immediate need to raise the lending capacity of the EUR440 billion EFSF.

The euro was also down against the pound, with EUR/GBP plunging 0.93% to hit 0.8356.

Also Monday, markets in the U.S. were remaining closed for Martin Luther King Day.

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