The euro eased to $1.3974 in Tokyo morning trade from $1.3979 in New York late Friday. The single European currency fetched 115.08 yen compared to 115.05 yen.

However, sentiment towards the euro would likely stay "bullish", Barclays Capital said in a research note.

It said the euro would be supported by data including industrial production reports from Germany and France this week, both of which Barclays forecasts will show a rebound from December's weather-hit levels.

The dollar firmed to 82.34 yen from 82.26 yen.

Investors locked in profits after the euro soared to $1.4008 on Friday, the highest level since November 9, dealers said.

ECB president Jean-Claude Trichet warned Thursday an interest rate hike was "possible" in April, stoking euro purchases.

The ECB has held its key rate at 1.0 percent since May 2009 to stimulate economic recovery in the eurozone, but is now concerned about increasing inflationary pressures.

A better-than-expected US February jobs report pointed to recovery in the struggling labour market, but only from a still severely depressed level.

The dollar topped 83 yen shortly after the jobs report was announced, but fell sharply later in line with US Treasury yields' decline, dealers said.

The resignation of Japanese Foreign Minister Seiji Maehara weighed on Japanese stocks but had little impact on the foreign exchange market, dealers said.

Maehara resigned Sunday after admitting he received a donation from a foreign resident in Japan in violation of the law, dealing a fresh blow to the centre-left government.