The U.S. Dollar steadied on Thursday, having ceded ground in the previous session, ahead of a key jobless claims report due later in the session. The U.S Dollar traded lower versus the EUR yesterday after a Federal Reserve report showed a broadening U.S. economic recovery. The Dollar dropped 0.2% to $1.4542 per EUR from $1.4486 yesterday.
The Dollar rose against the Yen, ending 3 days of losses, after Federal Reserve Bank official said that policy makers must raise rates before employment falls to an acceptable level. The greenback rose versus the Japanese currency 0.4% to 91.37 Yen from 90.98. The Dollar's gains against the Yen on Wednesday were also supported by a spike in U.S. Treasury yields.
In European trading hours however, the Dollar briefly got a lift against the EUR after data showed Germany's economy shrank more than expected in 2009. The USD gained 0.1%to $1.4484 after German Gross Domestic Product contracted by a record 5.0% last year, worse than forecasts for a 4.8% decline.