FOREX-Euro hovers near 11-year low after ECB launches QE, seen staying weak

* Euro steady vs dlr but still within sight of 11-year low

* ECB's launch of QE knocked euro down to $1.1316 on Thurs

* Euro's downtrend vs dlr seen likely to persist in coming months (Updates prices, adds comments)

By Ian Chua and Masayuki Kitano

SYDNEY/SINGAPORE, Jan 23 (Reuters) - The euro wallowed near an 11-year low on Friday after suffering a massive decline as the European Central Bank launched a stimulus programme that would pump hundreds of billions in new money into a sagging euro zone economy.

The common currency tumbled on Thursday as the market took in news that the ECB would purchase sovereign debt from this March until the end of September 2016, by which time more than 1 trillion euros would have been created under quantitative easing.

The ECB seemed to leave open the possibility that the asset buying could last even longer, a factor that traders said could keep pressure on the euro.

"The open-ended structure is the important thing in my opinion. Even (Taiwan OTC: 6436.TWO - news) though it's intended to last until September 2016, it's not an actual line in the sand," said Jesper Bargmann, head of trading for Nordea Bank (Other OTC: NRBAY - news) in Singapore.

ECB President Mario Draghi said on Thursday that the asset purchases "will in any case be conducted until we see a sustained adjustment in the path of inflation which is consistent with our aim of achieving inflation rates below but close to 2 percent over the medium term."

The euro held steady on the day at $1.1365, after having fallen as far as $1.1316 on Thursday, its lowest level since September 2003.

The euro was on track to end lower for a sixth straight week. It has dropped roughly 9 percent in the past six weeks, its worst performance since mid-2010.

Given such a big move over a relatively short time, the euro could be in for a period of consolidation, traders said. But they said the euro was likely to head lower in coming months.

"We will probably see a market where the euro weakens over the longer term, even if we don't see the type of rapid fall seen in the past month or two," said Kazuyuki Takami, head of trading department for the Bank of Tokyo-Mitsubishi UFJ in Singapore.

"I don't know if it will be say, $1.03 or $1.05, but it wouldn't be strange to see such levels some time this year," Takami said.

The euro languished near a seven-year low versus sterling and last stood near 75.71 pence. On Thursday the euro had fallen to 75.54 pence, its lowest level since early 2008.

The euro is set for another trial as global markets await snap Greek elections on Jan. 25. A win by the leftist Syriza party, which has pulled ahead on opinion polls, could trigger a standoff with the EU/IMF lenders.

The greenback benefited from the euro's weakness and hovered near an 11-year high against a basket of major currencies. The dollar index last stood at 94.156. On Thursday it had risen to 94.497, its highest level since September 2003.

Against the yen, the dollar eased 0.1 percent to 118.41 yen .

The Australian dollar briefly saw some choppy trading after the HSBC flash PMI showed that China's manufacturing growth stalled for the second straight month in January.

The Aussie dollar later stabilised, however. It was last steady on the day at $0.8023, staying near a low of $0.7995 set on Thursday, its lowest level since July 2009.

The Australian dollar has been under pressure after a shock rate cut by the Bank of Canada earlier this week fuelled speculation the Reserve Bank of Australia could also ease soon. (Editing by Kim Coghill)