FXstreet.com (Jakarta) - The euro came off vis-à-vis the U.S. dollar today as the single currency tested bids around the US$ 1.3125 level and was capped around the US$ 1.3150 level. Trading activity was muted on account of the Easter holiday weekend and liquidity will be reduced on Monday on account of the Easter Monday Bank Holiday.

Most traders expect European Central Bank will continue to ease monetary policy, especially as ECB President Trichet yesterday indicated 'one can imagine' interest rates will move lower, said GCI Financial Team. Some dealers believe the ECB will begin a quantitative easing policy next month, probably by purchasing asset-backed securities in the market.

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