* Euro stays on defensive, hits lowest since Sept. 18

* Move seen exacerbated by thin trading conditions

* ECB meeting on Thursday key for common currency

* Aussie edges up after firm Australian retail sales

By Masayuki Kitano and Ian Chua

SINGAPORE/SYDNEY, Nov 4 (Reuters) - The euro touched a six-week low on Monday after suffering its biggest drop in over a year last week as pressure mounted on the European Central Bank to cut interest rates to shore up growth.

The euro skidded below chart support around $1.3460/80 and fell to as low as $1.3442 on trading platform EBS, its lowest level since Sept. 18. It later trimmed its losses and was last down 0.1 percent on the day at $1.3478.

Market players said there was no clear trigger for the euro's latest drop, adding that meagre trade and stop-loss selling may have dragged the common currency lower.

"Just thin Asia liquidity with Japan on holiday. I wouldn't read too much into it," said Gareth Berry, G10 FX strategist for UBS in Singapore.

The timing of the euro's drop seemed to roughly coincide with comments from Federal Reserve Bank of Dallas President Richard Fisher, but some market players were sceptical that his remarks had much of an impact.

"I think there may have been some stops," said a trader for a Japanese bank in Singapore, referring to stop-loss selling in the euro.

Speaking at a conference of business economists in Sydney, Fisher said he was concerned that corporate credit spreads have narrowed too much, and added that he does not see the Fed's balance sheet rising to $6 trillion or more.

The euro remained on the defensive ahead of the ECB's policy meeting on Thursday.

After data last week showed a plunge in euro area inflation, a growing number of commentators, including UBS and RBS analysts, reckons a rate cut could come as soon as Thursday's policy meeting.

"Although market expectations for ECB action have grown due to the weak inflation print, we think a December move is much more likely," analysts at Barclays Capital wrote in a note, adding an that if the ECB left its policy rate unchanged on Thursday there could be a knee-jerk bounce in the euro.

"However, we expect dovish rhetoric at the press conference from ECB President Mario Draghi to keep a December move in play. We would therefore recommend using any EUR rally as a better entry level to re-engage in EUR/USD downside."

Against the yen, the euro eased 0.1 percent to 133.10 yen , having fallen as far as 132.60 on Friday, its lowest in three weeks.

Pressure on the euro helped lift the dollar to a six-week high versus a basket of major currencies. The dollar index rose to 80.930, its highest level since Sept. 18. It last stood at 80.769, up 0.1 percent on the day.