On Friday, the single currency, euro, rallied against the United States dollar and the Japanese yen after budget cuts in Spain boosted hopes the country may stick to an austerity path, though mixed U.S. data capped some gains.
Spain's presented budget is focused on saving more than 27 billion euros in 2012 through spending cuts and revenue increases. Finance ministers of the eurozone agreed for strengthening their financial firewall to contain debt crisis of the region. Despite the fact that both of these moves were largely expected by the markets, the euro was still able to rally.
U.S. data suggested the pace of business activity in the Midwest slowed while gains in consumer spending outstripped an increase in income.
"We have a lot of conflicting data points, a lot of conflicting news," said Camilla Sutton, chief currency strategist at Scotia Capital. "There's no catalyst to break things out of month-long ranges."
The euro rose 0.3 percent against the US dollar to $1.3335 and gained 0.7 percent to 110.35 yen. The dollar swung between gains and losses against the Japanese currency but last traded up 0.4 percent at 82.73 yen with the peak at 82.86 and the low at 81.82 yen. Euro, on the other hand, was on track for its best quarter against the dollar in a year, up 2.9 percent.